3 Month Treasury Rate Market Daily Analysis: Daily Treasury Yield Curve Rates (2024)

FAQs

What is the 3 month Treasury yield rate? ›

3 Month Treasury Rate is at 5.45%, compared to 5.45% the previous market day and 5.40% last year. This is higher than the long term average of 2.71%. The 3 Month Treasury Rate is the yield received for investing in a US government issued treasury security that has a maturity of 3 months.

To calculate yield, subtract the bill's purchase price from its face value and then divide the result by the bill's purchase price. Finally, multiply your answer by 100 to convert it to a percentage.

Daily Treasury PAR Yield Curve Rates

This par yield curve, which relates the par yield on a security to its time to maturity, is based on the closing market bid prices on the most recently auctioned Treasury securities in the over-the-counter market.

The yield curve is normally in a positive slope because shorter maturities typically yield less than longer maturities. When the yield curve is in a positive slope, investors might expect economic growth, which can lead to inflation and ultimately higher interest rates.

Both bonds and notes pay interest every six months. The interest rate for a particular security is set at the auction. The price for a bond or a note may be the face value (also called par value) or may be more or less than the face value.

To calculate the price, take 180 days and multiply by 1.5 to get 270. Then, divide by 360 to get 0.75, and subtract 100 minus 0.75. The answer is 99.25. Because you're buying a $1,000 Treasury bill instead of one for $100, multiply 99.25 by 10 to get the final price of $992.50.

A "yield curve" is a comparison between long-term and short-term bonds that depicts the relationship between their rates of interest. The rate for a longer-term bond is usually higher than the rate for a shorter-term bond.

The Yield Curve is a graphical representation of the interest rates on debt for a range of maturities. It shows the yield an investor is expecting to earn if he lends his money for a given period of time. The graph displays a bond's yield on the vertical axis and the time to maturity across the horizontal axis.

Essentially, there are three possible shapes that we can see in the yield curve. A Normal curve has short-term rates lower than long-term rates; an Inverted curve has short-term rates that are higher than long-term ones; and a Flat curve has short- and long-term rates that are roughly the same.

What does a normal Treasury yield curve look like? ›

A normal yield curve is characterized by lower yields for shorter-term maturities and progressively higher yields for longer-term maturities. A normal yield curve is the most common and generally reflects a stable and expanding economy.

To the degree the market's forecast of a downturn is correct, such moves in the yield-curve slope will be associated with a higher probability of a future recession.

You can only buy T-bills in electronic form, either from a brokerage firm or directly from the government at TreasuryDirect.gov. (You can also buy Series I savings bonds through TreasuryDirect.gov). The most common maturity dates are four weeks, eight weeks, 13 weeks, 26 weeks and 52 weeks.

November 2023 Treasury Bill Rates

12-month T Bill rates are at 5. 44%! The new 17-week Treasury Bill rate is 5.53%!

If you're saving for a goal less than a year away: If you're saving money for a goal with a short-time horizon, T-bills can make more sense than CDs. They provide a higher APY than savings accounts, and they're more liquid than CDs.