WASHINGTON (AP) - Interest rates on short-term Treasury bills were mixed in Tuesday's auction.
WASHINGTON (AP) — Interest rates on short-term Treasury bills were mixed in Tuesday's auction.
The Treasury Department auctioned $31 billion in three-month bills at a discount rate of 0.255 percent, up from 0.215 percent last week. Another $26 billion in six-month bills was auctioned at a discount rate of 0.370 percent, down from 0.470 percent last week.
The three-month rate was the highest since those bills averaged 0.260 percent on Dec. 28. The six-month rate was the lowest since those bills averaged 0.350 percent on Nov. 23.
The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,993.55, while a six-month bill sold for $9,981.29. That would equal an annualized rate of 0.259 percent for the three-month bills and 0.377 percent for the six-month bills.
The Treasury auction, normally held on Monday, was held on Tuesday this week because of the Martin Luther King Jr. holiday.
Separately, the Federal Reserve said Tuesday that the average yield for one-year Treasury bills, a popular index for making changes in adjustable rate mortgages, fell to 0.58 percent last week from 0.65 percent the previous week.