FED TO PURCHASE TREASURY BILLS FOR A CUSTOMER
The Federal Reserve will purchase
approximately one billion dlrs of U.S. Treasury bills for a
customer after the Treasury's auction of four-year notes, a Fed
spokesman said.
    The spokesman said the Fed intends to purchase bills
maturing in up to six months.
    Dealers said Federal funds were trading at 6-3/16 pct when
the Fed announced the operation. Many had expected to Fed to
buy bills for itself, thereby adding permanent reserves to the
banking system. Since it did not do so today, this Fed move is
likely tomorrow.
 Reuter
