BANKING & FINANCE - Oct. 18, 1994
From Times Staff and Wire Reports
Treasury Bill Rates Unchanged: The Treasury Department sold $13.1 billion of new three-month bills at an average discount rate of 4.92%. Another $13.1 billion of new six-month bills was sold an average discount rate of 5.34%. The rates were unchanged from last week’s auction. The new discount rates understate the actual return to investors: 5.05% for three-month bills, with a $10,000 bill selling for $9,875.60, and 5.57% for a six-month bill selling for $9,730.00. The discount rate reflects the price discount received when government securities are purchased at less than face value.
