3-, 6-Month T-Bill Rates Slip Again

The Treasury Department sold $16 billion in three-month bills at a discount rate of 1.02%, down from 1.07% last week. An additional $16 billion was sold in six-month bills at a rate of 1.02%, down from 1.10%.

The three-month rate was the lowest since July 28, 1958, when the bills sold for 0.98%. The six-month rate was the lowest since the government began selling these bills on a regular basis in 1958.

The new discount rates understate the actual return to investors -- 1.04% for three-month bills, with a $10,000 bill selling for $9,974.20, and 1.04% for a six-month bill selling for $9,948.40.

From Associated Press