NEW YORK: The US Treasury Department sold one-month debt on Tuesday at the highest interest rates since early May ahead of a Senate vote on a proposal to raise the federal debt ceiling to avert a US sovereign default.
Investors, however, are worried that rating agency Standard & Poor's will strip the United States of its top-notch rating soon, raising the world's biggest economy's borrowing costs.
The Treasury auctioned $23 billion in one-month bills due Sept.1 at an interest rate of 0.070 percent, matching the level at the one-month auction on May 8. For more see
Last week, it auctioned one-month bills at a rate of 0.06 percent
Copyright Reuters, 2011
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