The Treasury Department Wednesday auctioned $21 billion of nine-year 11-month notes with a 2 5/8% coupon at a 3.340% high yield, and a price of 94.002822. The bid-to-cover ratio was 2.92. Tenders at the high yield were allotted 8.71%. All competitive tenders at lower yields were accepted in full. The median yield was 3.259%; low yield 3.170%.

Tenders totaled $61,332,371,400 and the Treasury accepted $21,000,017,400, including $31,271,400 of noncompetitive. Federal Reserve banks bought $305,454,500 for their own accounts in exchange for maturing securities. The notes, which are dated Nov. 15, will mature Nov. 15, 2020.

Treasury also sold $25 billion of 56-day cash management bills, dated Dec. 9 and due Feb. 3, 2011, at a 0.125% high tender rate. The bid to cover ratio was 4.43. The coupon equivalent was 0.127%. The price was 99.980556.

The median bid was 0.115%; low bid 0.090%. Tenders at the high were allotted 51.12%. Tenders totaled $110,867,032,000. The Treasury accepted $25,000,996,000, including $7,032,000 of noncompetitive.

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