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

O ctob er 10, 1979

RESULTS OF AUCTION OF 2-YEAR NOTES AND 4-YEAR NOTES

To All Banking Institutions, and Others Concerned,
in the Second Federal Reserve District:
T h e fo llo w in g s ta te m e n ts h a v e b een issu ed b y th e T rea su ry D ep a rtm en t:

Results of Auction of 2-Year Treasury Notes
(Notes of Series X-1981)

The Department of the Treasury has accepted $3,254 million of $5,595 million of tenders received
from the public for the 2-year notes, Series X-1981, auctioned today [October 3]. The range of accepted
competitive bids was as follows:
Lowest yield ................. 10.20%'
Highest yield................. 10.22%
Average yield ................10.21%
'Excepting six tenders totaling $70,000.

The interest rate on the notes will be 10-1/8%. At the 10-1/8% rate, the above yields result in the
following prices:
Low-yield price................................. 99.869
High-yield p rice............................... 99.834
Average-yield price.......................... 99.851
The $3,254 million of accepted tenders includes $910 million of noncompetitive tenders and $1,589
million of competitive tenders from private investors, including 87% of the amount of notes bid for at the
high yield. It also includes $755 million of tenders at the average price from Federal Reserve Banks as
agents for foreign and international monetary authorities.
In addition to the $3,254 million of tenders accepted in the auction process, $400 million of tenders
were accepted at the average price from Federal Reserve Banks for their own account in exchange for
maturing short-term bills.




(Over)

Results of Auction of 4-Year Treasury Notes
(Notes of Series F-1983)

The Department of the Treasury has accepted $2,502 million of $4,457 million of tenders received
from the public for the 4-year notes, Series F-1983, auctioned today [October 4], The range of accepted
competitive bids was as follows:
Lowest yield ................... 9.75%'
Highest yield................... 9.81%
Average yield................. 9.79%

'Excepting two tenders totaling $11,000.

The interest rate on the notes will be 9-3/4%. At the 9-3/4% rate, the above yields result in the
following prices:
Low-yield price............................... 100.000
High-yield p rice................................ 99.806
Average-yield price.......................... 99.871
The $2,502 million of accepted tenders includes $534 million of noncompetitive tenders and $1,678
million of competitive tenders from private investors, including 83% of the amount of notes bid for at the
high yield. It also includes $290 million of tenders at the average price from Federal Reserve Banks as
agents for foreign and international monetary authorities.
In addition to the $2,502 million of tenders accepted in the auction process, $268 million of tenders
were accepted at the average price from Federal Reserve Banks for their own account in exchange for
maturing short-term bills.




T homas M. T im l e n ,
F ir s t V ice P resid en t.