According to economic theory, interest rates tend to change across the market and move closer to each other, which is exactly what happens with T-Bills and interest rates set by the Fed.
T-Bonds, treasury bonds have the longest maturity among the three treasuries.
The means that a shorter T-bill will be more expensive than a longer T-bill.
The first is a Non -Competitive Application. .Investors will no longer be able to buy the older T-bond and still receive a yield of 10 percent; instead, its yield to maturity will fall, and its price will rise.The returns from T-Bills are only realized when they mature, making them a somewhat less attractive income vehicle especially for investors seeking a steady cash flow.T-bills have various maturities and are issued at a discount from par.Alternatively, An Investor may choose to rollover their securities into a new forthcoming issue and in this case, they have to complete application form giving rollover instructions and submit to Central Bank before closure of the period of sale for that bill.The issuing of treasury bills is governed by the Treasury Bill Act (1960).The 10-year T-note is mostly"d by economists when assessing the performance of the bond market.Treasury bills, or T-bills, are sold in terms ranging from a few days to 52 weeks.Since the maturities on Treasury bills are so short, they typically offer lower yields than those available on Treasury notes or bonds.What Influences T-Bill Prices?The reason for this is that the longer money is held in a security, the more delayed its use becomes and the more risk gets priced into the instrument.