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
F is c a l A g e n t o f th e U n ite d S ta te s

1
S e p te m b e r 25, 1980

R E S U L T S O F A U C T I O N O F 2 -Y E A R N O T E S A N D 4 -Y E A R N O T E S

To A ll B anking Institutions, and Others Concerned,
in the Second Federal Reserve D istrict:

T h e fo llo w in g s ta te m e n ts h a v e b e e n

is s u e d

b y th e T r e a su r y

D e p a r tm e n t:

Results of Auction of 2-Year Treasury Notes
(Notes of Series W-1982)
The Department of the Treasury has accepted $4,501 million of $9,626 million of tenders received
from the public for the 2-year notes, Series W-1982, auctioned today [September 18]. The range of accepted
competitive bids was as follows:
Lowest yield .................... H.85%1
Highest yield.................... 11.96%
Average y ie ld .................. 11.93%
Excepting one tender of $25,000.

The interest rate on the notes will be 11-7/8%. At the 11-7/8% rate, the above yields result in the
following prices:
Low-yield p ric e ..........................
100.043
High-yield p ric e ............................... 99.853
Average-yield p ric e ........................... 99.905
The $4,501 million of accepted tenders includes $1,061 million of noncompetitive tenders and $2,535
million of competitive tenders from private investors, including 59% of the amount of notes bid for at the
high yield. It also includes $905 million of tenders at the average price from Federal Reserve Banks as
agents for foreign and international monetary authorities in exchange for m aturing securities.
In addition to the $4,501 million of tenders accepted in the auction process, $550 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 September 30, 1980.




(Over)

Results of Auction of 4-Year Treasury Notes
(Notes of Series F-1984)
The Department of the Treasury has accepted $3,004 million of $7,106 million of tenders received
from the public for the 4-year notes, Series F-1984, auctioned today [September 23 ]. The range of accepted
competitive bids was as follows:
Lowest yield .................... 12.05%1
Highest yield.................. 12.15%
Average y ie ld ................ 12.13%

'Excepting one tender of $25,000.

The interest rate on the notes will be 12-1/8%. At the 12-1/8% rate, the above yields result in the
following prices:
Low-yield p ric e ................................. 100.233
High-yield p ric e ................................. 99.923
Average-yield p ric e ........................... 99.985
The $3,004 million of accepted tenders includes $565 million of noncompetitive tenders and $2,179
million of competitive tenders from private investors, including 74% of the amount of notes bid for at the
high yield. It also includes $260 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 $3,004 million of tenders accepted in the auction process, $339 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 September 30, 1980.




A n th o n y M. S olom on ,
P r e s id e n t.