Personal Finance

Investors balk at U.S. T-bill supply on default worries

NEW YORK (Reuters) – Investors uneasy about a possible failure to increase the U.S. debt ceiling gave a cold shoulder on Tuesday to $ 20 billion worth of Treasury debt that will come due when the government might be out of cash if the ceiling is not raised by late September.

The chilly reception to the latest one-month T-bill supply resulted in the Treasury Department paying the highest interest rate on one-month debt obligations in nine years. Its interest rate was higher than the yield on two-year Treasuries on the open market.

The latest one-month auction results were “ghastly,” Jefferies & Co.’s money market …
Reuters: Money