Rates on US Treasury Bills Rise at Weekly Auction
Interest rates on short-term Treasury bills rose in Monday’s auction, with rates on three-month bills climbing to their highest level since late March.
The Treasury Department auctioned $25 billion in three-month bills at a discount rate of 0.040 percent, up from 0.025 percent last week. Another $23 billion in six-month bills was auctioned at a discount rate of 0.065 percent, up from 0.050 percent last week.
The three-month rate was the highest since those bills averaged 0.045 percent on March 31. The six-month rate was the highest since those bills averaged 0.070 percent on June 16.
The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,998.99, while a six-month bill sold for $9,996.70. That would equal an annualized rate of 0.041 percent for the three-month bills and 0.066 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 0.11 percent last week from 0.10 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.