Full text of Federal Reserve Bank of New York Circulars : Results of Auction of 2-Year Notes and 4-Year Notes

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FEDERAL RESERVE BANK
OF NEW YORK

Fiscal Agent of the United States

RESULTS OF AUCHOM OF 2-YEAR MOTES AMD 4-YEAR MOTES

7*o /t // SanMng
tn

an<7 OfAcrx Concerned,

Second

Reserve

The following statements were issued by the Treasury
Department:
RESULTS OF AUCHOM OF 2-YEAR TREASURY MOTES
(Notes of Series W-1980)

The Department of the Treasury has accepted $2,510 million of
$5,315 million of tenders received from the public for the 2-year
notes, Series W-I9 8 O, auctioned today [Pe.C.embeA 19]. The range
of accepted competitive bids was as follows:
Lowest yield .... 9*97%*
Highest yield.... 10.00%
Average yield.... 9-99%
* Excepting six tenders totaling $2,840,000.

The interest rate on the notes will be 9-7/8%. At the 9-7/8%
rate, the above yields result in the following prices:
Low-yield price..... 99.832
High-yield price.... 99-779
Average-yield price..99-797
The $2,510 million of accepted tenders includes $655 million of
noncompetitive tenders and $1,755 million of competitive tenders
from private investors, including 5^% of the amount of notes bid for
at the high yield. It also includes $100 million of tenders at the
average price from Federal Reserve Banks as agents for foreign and
international monetary authorities in exchange for maturing securities.
In addition to the $2,510 million of tenders accepted in the auction
process, $450 million of tenders were accepted at the average price from
Government accounts and Federal Reserve Banks for their own account in
exchange for securities maturing December 31, 1978, and $535 million of
tenders were accepted at the average price from Federal Reserve Banks as
agents for foreign and international monetary authorities for new cash.




(Over)

RESULTS OF AUCTtOM OF A^YEAR TREASURY ROTES
(Notes of Series L-1982)

The Department of the Treasury has accepted $2,507 million of
$5,851 million of tenders received from the public for the it-year notes,
Series L-1982, auctioned today [PacambeA 20]. The range of accepted
competitive bids was as follows:
Lowest yield
.9.^3%*
Highest yield..... 9.^7%
Average yield..... 9.^5%

* Excepting four tenders totaling $154,000.

The interest rate on the notes will be 9-3/8%. At the 9-3/8%
rate, the above yields result in the following prices:
Low-yield price.....99.820
High-yield price....99.690
Average-yield price..99.755
The $2,507 million of accepted tenders includes $7^0 million of non­
competitive tenders and $1,667 million of competitive tenders from private
investors, including 11% of the amount of notes bid for at the high yield.
It also includes $100 million of tenders at the average price from Federal
Reserve Banks as agents for foreign and international monetary authorities
in exchange for maturing securities.
In addition to the $2,507 million of tenders accepted in the auction
process $^37 million of tenders were accepted at the average price from
Government accounts and Federal Reserve Banks for their own account in
exchange for securities maturing December 31, 1978, and $200 million of
tenders were accepted at the average price from Federal Reserve Banks as
agents for foreign and international monetary authorities for new cash.

PAUL A. VOLCKER.
P r e s id e d .