Rates Mixed in Treasury Bill Auction
From Associated Press
The Treasury Department sold $16 billion in three-month bills at a discount rate of 0.935%, unchanged from the last week. An additional $16 billion was sold in six-month bills at a rate of 1.010%, down from 1.040% the previous week.
The new discount rates understate the actual return to investors -- 0.951% for three-month bills with a $10,000 bill selling for $9,976.40 and 1.033% for a six-month bill selling for $9,948.90.
In a separate report, the Federal Reserve said the average yield for one-year constant maturity Treasury bills, the most popular index for making changes in adjustable-rate mortgages, edged up to 1.36% last week from 1.35% the previous week.
