BANKING & FINANCE - Nov. 16, 1993

Treasury Bill Rates Mixed: The Treasury sold $13.9 billion of new three-month bills at an average discount rate of 3.11%, the same as last week. An additional $14 billion of new six-month bills was sold at an average discount rate of 3.26%, down from 3.28% last week. The six-month bill rate was the lowest since rates averaged 3.25% on Nov. 1. The new discount rates understate the actual return to investors: 3.18% for three-month bills, with a $10,000 bill selling for $9,921.40, and 3.36% for a six-month bill selling for $9,835.20. The discount rate reflects the price discount received when government securities are purchased at less than face value.