Fannie Mae sells $2 bln bills at mixed rates

NEW YORK, Sept 1 (Reuters) - Fannie Mae (FNMA.OB), the largest U.S. home funding source, on Wednesday said it sold $2 billion of benchmark bills at mixed interest rates compared with last week's sale of the same sizes and similar maturities.

Fannie Mae said it sold $1 billion of three-month bills, due Dec. 1, 2010, at a 0.165 percent stop-out rate, or lowest accepted rate, up from a 0.160 percent stop-out rate for its $1 billion three-month bills auctioned on Aug. 25.

The agency also sold $1 billion of six-month bills due March 2, 2011, at a 0.198 percent stop-out rate, lower than a 0.200 percent rate for its $1 billion six-month bills sold a week ago.

The three-month bills were priced at 99.958 with a money market yield of 0.165 percent, and the six-month bills were priced at 99.900 with a money market yield of 0.198 percent.

Settlement is Sept. 1-2. (Reporting by Caryn Trokie; Editing by James Dalgleish)