Interest Rates Mixed in Treasury Auction
From the Associated Press
The Treasury Department auctioned $20 billion in three-month bills at a discount rate of 4.545%, up from 4.51% last week. An additional $17 billion in six-month bills was sold at 4.61%, down from 4.645% last week.
The rates understate the actual return to investors -- 4.662% for three-month bills, with a $10,000 bill selling for $9,885.11, and 4.786% for a six-month bill selling for $9,766.94.
Separately, the Federal Reserve said the average yield for one-year Treasury bills, a popular index for making changes in adjustable-rate mortgages, declined slightly to 4.76% last week from 4.77% the previous week.
