Rates Mixed at Weekly US Treasury Bill Auction
Interest rates on short-term Treasury bills were mixed in Monday’s auction, with rates on three-month bills unchanged while rates on six-month bills rose to the highest level in five weeks.
The Treasury Department auctioned $30 billion in three-month bills at a discount rate of 0.045 percent. That’s unchanged from last week. Another $25 billion in six-month bills was auctioned at a discount rate of 0.085 percent, up from 0.080 percent last week.
The six-month rate was the highest since these bills averaged 0.090 percent on April 15.
The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,998.86, while a six-month bill sold for $9,995.70. That would equal an annualized rate of 0.046 percent for the three-month bills and 0.086 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 up to 0.12 percent last week from 0.11 percent the previous week.
This article appeared in print in edition of Hamodia.
To Read The Full Story
Are you already a subscriber?
Click "Sign In" to log in!
Become a Web Subscriber
Click “Subscribe” below to begin the process of becoming a new subscriber.
Become a Print + Web Subscriber
Click “Subscribe” below to begin the process of becoming a new subscriber.
Renew Print + Web Subscription
Click “Renew Subscription” below to begin the process of renewing your subscription.