Rates rise at weekly US Treasury bill auction
WASHINGTON — Interest rates on short-term Treasury bills rose in Monday’s auction to their highest levels in more than eight years. The Treasury Department auctioned $39 billion in three-month bills at a discount rate of 0.845 per cent, up from 0.820 per cent last week. Another $33 billion in six-month bills was auctioned at a discount rate of 0.975 per cent, up from 0.955 per cent last week.
The three-month rate was the highest since those bills averaged 0.900 per cent on Oct. 27, 2008. The six-month rate was the highest since those bills averaged 0.990 per cent Nov. 10, 2008. The discount rates reflect that the bills sell for less than face value.