Freddie Mac sells $2 bln bills at lower rates, higher demand

Aug 6 (Reuters) - Freddie Mac, the No. 2 U.S. home funding
company, said on Monday it sold $2 billion of reference bills at lower rates and
stronger demand compared with the most recent sales of similar maturities.
Freddie Mac said it sold $1 billion of three-month bills due Nov. 5, 2012 at
a 0.116 percent stop-out rate, down from a 0.128 percent rate for its $1 billion
three-month bills sold July 30.
The company also sold $1 billion of six-month bills due Feb. 4, 2013 at a
0.149 percent rate, down from the 0.160 percent rate for its sale of $1 billion
six-month bills a week ago.
Demand for the three-month bills was stronger with the bid-to-cover ratio at
4.87 versus 4.45 for bills sold July 30, and demand for the six-month bills was
also higher at 5.05 ratio versus 4.42 for its bills sold a week ago.
A bid-to-cover ratio reflects the amount of bids compared with the amount
offered. A higher ratio indicates stronger demand.
Settlement is Aug. 7.