Rates Dip on 3- and 6-Month T-Bills

The Treasury Department sold $15 billion in three-month bills at a discount rate of 3.43%, down from 3.48% last week. An additional $14 billion was sold in six-month bills at a rate of 3.35%, down from 3.38%.

The new discount rates understate the actual return to investors--3.508% for three-month bills, with a $10,000 bill selling for $9,913.30, and 3.456% for a six-month bill selling for $9,830.60.

In a separate report, the Federal Reserve said the average yield for one-year constant maturity Treasury bills, the most popular index for making changes in adjustable-rate mortgages, fell to 3.56% last week from 3.59% the previous week.