Rates Stable or Down in Treasury Auction
From Times Wire Services
The Treasury Department auctioned $15 billion in three-month bills at a discount rate of 4.74%, unchanged from last week. An additional $14 billion in six-month bills was auctioned at a discount rate of 4.82%, down from 4.83% last week.
The rates understate the actual return to investors -- 4.864% for three-month bills, with a $10,000 bill selling for $9,880.18, and 5.009% for a six-month bill selling for $9,756.32.
Separately, the Federal Reserve said the average yield for one-year Treasury bills, a popular index for making changes in adjustable-rate mortgages, rose to 5.01% last week from 4.98% the previous week.