Policy: Economy

Rates mixed at weekly US Treasury auction

|
News,Business,Economy,Wall Street,Financial Markets,Auctions

WASHINGTON (AP) — Interest rates on short-term Treasury bills were mixed in Monday's auction with rates on three-month bills rising slightly and rates on six-month bills unchanged.

The Treasury Department auctioned $25 billion in three-month bills at a discount rate of 0.035 percent, up from 0.030 percent last week. Another $23 billion in six-month bills was auctioned at a discount rate of 0.050 percent, unchanged from last week.

The three-month rate was the highest since those bills averaged 0.045 percent on March 31.

The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,999.12 while a six-month bill sold for $9,997.47. That would equal an annualized rate of 0.035 percent for the three-month bills and 0.051 percent for the six-month bills.

Separately, the Federal Reserve said Monday that the average yield for one-year Treasury bills, a popular index for making changes in adjustable rate mortgages, edged down to 0.10 percent last week from 0.12 percent the previous week.

View article comments Leave a comment

More from washingtonexaminer.com