Short-term T-bill rates mixed

WASHINGTON - Interest rates on three-month Treasury bills fell in auction yesterday while rates on six-month bills rose to their highest level since last November.

The Treasury Department auctioned $31 billion in three-month bills at a discount rate of 0.3 percent, down from 0.325 percent last week. Another $30 billion in six-month bills was auctioned at a discount rate of 0.495 percent, up from 0.47 percent last week.

The three-month rate was the lowest since those bills averaged 0.27 percent three weeks ago. The six-month rate was the highest since 0.84 percent was reached on Nov. 17.

The discount rates reflect the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,992.42 while a six-month bill sold for $9,974.98. That would equal an annualized rate of 0.3 percent for the three-month bills and 0.5 percent for the six-month bills.

Separately, the Federal Reserve said the average yield for one-year Treasury bills, a popular index for making changes in adjustable rate mortgages, rose to 0.64 percent last week, from 0.6 percent the previous week.