WASHINGTON (AP) -- Interest rates on short-term Treasury bills rose in Monday's auction to their highest levels since the 2008 financial crisis.
The Treasury Department auctioned $39 billion in three-month bills at a discount rate of 0.920 percent, up from 0.905 percent last week. Another $33 billion in six-month bills was auctioned at a discount rate of 1.050 percent, up from 1.020 percent last week.
The three-month rate was the highest since those bills averaged 1.250 percent on Oct. 20, 2008. The six-month rate was the highest since those bills averaged 1.100 percent on Nov. 3, 2008.
The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,976.74, while a six-month bill sold for $9,946.63. That would equal an annualized rate of 0.935 percent for the three-month bills and 1.070 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 1.10 percent last Friday, little changed from 1.11 percent at the beginning of last week.