Treasury Bills are usually issued on the same day each week, making it easy to re-invest T-Bills at maturity. Someone brought up a good point – what if that day is a holiday? Reader Dan pointed out that the Treasury already thought of that, and adjusts the issue and/or maturity 1 day accordingly. For example, 4-week (28-day) T-Bills are usually issued and matured on Thursday, but next week Thursday 11/24 is Thanksgiving. So, the T-Bill issued on 10/27 is actually a 29-day T-Bill, maturing on Friday 11/25. Accordingly, there is a 27-day T-Bill scheduled for issue on that Friday too. They all match up, so at least that’s one less thing to worry about.
I’ve also added a new category devoted to Treasury Bills and Bonds and moved all related entries there.
By Jonathan Ping | Treasury Bills and Bonds | 11/18/05, 5:27pm