BANKING

Treasury Bill Rates Decline: The Treasury Department sold $11.4 billion of new, three-month bills at an average discount rate of 2.95%, down from 3.02% last week. In addition, $11.2 billion of new, six-month bills were sold at an average discount rate of 3.03%, down from 3.11% last week. The three-month bill rate was the lowest since they were sold for 2.89% on May 10. The six-month bill rate was the lowest since they averaged 2.99%, also on May 10. The new discount rates understate the actual return to investors: 3.01% for three-month bills, with a $10,000 bill selling for $9,925.40, and 3.12% for a six-month bill selling for $9,846.80. The discount rate reflects the price discount received when government securities are purchased for less than face value.