Record low interest rates for Freddie Mac bills
NEW YORK, Jan 5 (Reuters) - Freddie Mac (FRE.N) (FRE.P) said it sold $2 billion of bills on Monday at record low interest rates, drawing mixed demand compared with similar sales last week.
Its $1 billion of three-month bills due April 6, 2009 were auctioned at a 0.150 percent rate, down from the prior record low rate of 0.200 percent for the same-sized offering on Dec. 29.
The company also sold $1 billion of six-month bills due July 6, 2009 at an all-time low of 0.390 percent rate, down from the 0.470 percent rate on $1 billion of bills auctioned a week ago. Last week's rate matched a prior record low.
Demand for the three-month bills was higher than last week, with a bid-to-cover ratio of 4.04 compared with 3.92 on Dec. 29, while demand for the six-month bills was lower at 3.86 from 4.05 in the previous week.
A bid-to-cover ratio reflects the amount of bids compared with the amount offered. The higher the ratio the stronger the demand.
Settlement is Jan. 6. (Reporting by Caryn Trokie; Editing by Tom Hals)
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