NEW YORK, April 24 (Reuters) - The amount of U.S. commercial paper outstanding slipped in the latest week from a three-month high, suggesting the pickup in loan demand from companies to fund inventories and payrolls has leveled off, data from the Federal Reserve showed on Thursday.
Seasonally adjusted U.S. commercial paper outstanding fell for the first time in five weeks. It declined $1.7 billion in the week to April 23 to $1.043 trillion, according to central bank data.
Recent data showed U.S. employers have picked up the pace of hiring and continued to accumulate inventories, supporting the view the economy is regaining some of the momentum lost during a harsh winter.
Issuance fell modestly on the week partly due to the Easter holiday.
Seasonally adjusted levels of this short-term debt from non-financial companies dipped by $1.7 billion to $280.1 billion, while the amount of financial CP decline by $500 million to $529.7 billion.
Non-seasonally adjusted commercial paper outstanding, which some analysts consider a more reliable reading than the seasonally adjusted one since it has been distorted by the financial crisis, rose $10.8 billion to $1.077 trillion, which was the highest level since the week of May 29, 2013.
U.S. non-seasonally adjusted foreign financial commercial paper outstanding rose $4 billion to $267.7 billion, while domestic financial CP was little changed on the week at $287.3 billion.
Borrowing costs for companies through issuing CP little changed to lower on the week, Fed data showed.
For example, the average interest rate on non-financial CP that matures in 30 days was 0.06 percent on Wednesday, compared with 0.05 percent a week earlier. The average rate on 30-year financial CP was 0.05 percent, down from 0.08 percent a week ago. (Reporting by Richard Leong; Editing by Chizu Nomiyama)