As expected, the monthly Treasury index declined last month and will soon be below a half percent.
The MTA was 0.54417% in October, based on data reported by the Federal Reserve.
The index fell from 0.63167% in September. A year earlier, it stood at 2.25500%.
It’s the lowest level ever for the MTA based on Federal Reserve data going back to 1953.
The index started falling in April 2007 and hasn’t stopped since. It will likely fall below 0.50% this month.
To calculate the MTA, a daily average of the one-year Treasury yield is determined for each of the past 12 months. Then, an average is calculated for those 12 months.
The daily average of the one-year Treasury yield was 0.37% during October.
The one-year yield closed today at 0.38% — suggesting that the MTA might bottom out over the next few months.
