Plunging Treasury yields have the Monthly Treasury Average at a new record-low.
With the one-year Treasury yield threatening to fall below 0.1 percent, the MTA fell to its lowest level on record based on Federal Reserve data going back to 1953.
The index was 0.23083% during August.
A month earlier, MTA came in at 0.24333 percent, while it was 0.35333 percent a year earlier.
Driving the decline is a ridiculously low yield on the one-year Treasury note.
For the month of August, the daily average for the one-year yield was 0.11 percent — plummeting from 0.19 percent in July, according to Department of the Treasury data.
The MTAÂ is determined based on 12 months of daily averages for the one-year Treasury.
Like the MTA, the one-year yield is also used as an index for adjustable-rate mortgages. The one-year yield fell from 0.20 percent at the end of July to 0.10 percent at the end of last month.
The one-year yield closed today at 0.13 percent.
