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WASHINGTON (AP) — Interest rates on short-term Treasury bills rose in Monday's auction, with rates on six-month bills climbing to their highest level in four weeks.
The Treasury Department auctioned $34 billion in three-month bills at a discount rate of 0.515 percent, up from 0.505 percent last week. Another $28 billion in six-month bills was auctioned at a discount rate of 0.625 percent, up from 0.600 percent last week.
The three-month rate was the highest since those bills averaged 0.530 percent on Jan. 17. The six-month rate was the highest since those bills averaged 0.630 percent four weeks ago on Jan. 3.
The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,986.98, while a six-month bill sold for $9,968.40. That would equal an annualized rate of 0.523 percent for the three-month bills and 0.636 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, stood at 0.82 percent on Friday, up slightly from 0.79 percent on Jan. 23.
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