Fannie Mae sells $2 bln bills at higher rates

NEW YORK, July 15 (Reuters) - Fannie Mae (FNM.N), the
largest U.S. home funding source, said on Wednesday it sold
$1.0 billion of three-month benchmark bills due Oct. 14, 2009
at a stop-out rate, or lowest accepted rate, of 0.209 percent
and $1.0 billion of six-month bills due January 13, 2010 at a
0.295 percent stop-out rate.

At last week's sale, the agency sold $500 million in bills
in its smallest bill auction to date.

The three-month bills were priced at 99.947 and have a
money market yield of 0.209 percent, while the six-month bills
were priced at 99.851 with a money market yield of 0.295
percent, according to Fannie Mae.

Settlement is July 15-16.
(Reporting by Camille Drummond; Editing by Theodore
d'Afflisio)