WASHINGTON - The Treasury yesterday sold $11.02 billion of five-year notes at a yield of 4.83%, down from the 4.87% incurred in the previous sale on August 25 and the lowest since the Treasury began issuing the notes in 1977.
The coupon rate was 4 3/4%, unchanged from the previous auction. The average price was 99.648.
In the Dutch auction, all competitive tenders at yields lower than 4.83% were accepted in full. Buyers who bid at the high yield of 4.83% were allotted 27% of their total bids. The median yield was 4.81%, and the low yield was 4.75%.
The Treasury received $30.78 billion in bids and accepted $11.02 billion, including $532 million of noncompetitive bids at the average return.
The Treasury sold an additional $650 million to government and Federal Reserve banks as agents of foreign and international monetary authorities, in exchange for maturing securities. In addition, $900 million ws accepted at the average price from government accounts and Federal Reserve banks for their own account, in exchange for maturing securities.
The notes will mature Sept. 30, 1998.