Understanding Bankers Rounding in .NET

As I understand, the default rounding mode in .NET is "Bankers Rounding", which follows these rules:

• If the digit to round by is less than 5, then round down.
• If the digit to round by is equal to 5 then round to the nearest even number.
• if the digit to round by is greater than 5 then round up.

We can demonstrate this with the following example:

double[] values = {1.14, 1.15, 1.16, 1.24, 1.25, 1.26};
foreach (double value in values)
{
    Console.WriteLine(Math.Round(value, 1));
}

// 1.1 (1.14: round down)
// 1.2 (1.15: round to even)
// 1.2 (1.16: round up)
// 1.2 (1.24: round down)
// 1.2 (1.25: round to even)
// 1.3 (1.26: round up)

Then I tried this:

double value = 1.23456;
Console.WriteLine(Math.Round(value, 3));

// 1.235

My expectation was that this would result in 1.234 by the following logic:

• 1.234 is even
• The number to round by is 5, therefore it should round towards even.

So, why does this produce 1.235?