Rates on Treasury Bills Rise

WASHINGTON (AP) -- Interest rates on short-term Treasury bills rose in Monday's auction to the highest levels since earlier this month.

The Treasury Department auctioned $24 billion in three-month bills at a discount rate of 1.200 percent, up from 1.100 percent last week. Another $22 billion in six-month bills was auctioned at a discount rate of 1.550 percent, up from 1.310 percent last week.

The three-month rate was the highest since these bills averaged 1.420 percent on March 10. The six-month rate was the highest since these bills averaged 1.810 percent on March 3.

The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,969.67 while a six-month bill sold for $9,921.64.

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, fell to 1.35 percent last week from 1.52 percent the previous week.

© 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Learn more about our Privacy Policy.

631 SW Commerce Pl. Topeka, Kansas 66615 phone: 785-272-6397 fax: 785-272-1363 email: feedback@wibw.com
Copyright © 2002-2016 - Designed by Gray Digital Media - Powered by Clickability 16961641 - wibw.com/a?a=16961641
Gray Television, Inc.