WASHINGTON (AP) -- Interest rates on short-term Treasury bills rose in Monday's auction to the highest levels since mid-October.
The Treasury Department auctioned $33 billion in three-month bills at a discount rate of 0.050 percent, up from 0.045 percent last week. Another $29 billion in six-month bills was auctioned at a discount rate of 0.085 percent, up from 0.080 percent last week.
The three-month rate was the highest since three-month bills averaged 0.130 percent on Oct. 15. The six-month rate was the highest since these bills averaged 0.150 percent, also on Oct. 15.
The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,998.74, while a six-month bill sold for $9,995.70. That would equal an annualized rate of 0.051 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, was 0.11 percent last week, unchanged from the previous week.
- Budget, Tax & Economy