Short-term T-bill rates climb in sale
From Times Wire Services
The Treasury Department auctioned $16 billion in three-month bills at a discount rate of 4.185%, up from 3.925% last week. An additional $15 billion in six-month bills was auctioned at 4.225%, up from 4.095%.
The rates understate the actual return to investors -- 4.3% for three-month bills, with a $10,000 bill selling for $9,894.21, and 4.389% for a six-month bill selling for $9,786.40.
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 4.24% last week from 4.12% the previous week.
