According to CoinMeta, the demand for Japan’s 10-year government bond auction held on Thursday was roughly in line with the average level of the past 12 months, indicating that despite a recent decline in yields, market demand remains strong. The bid-to-cover ratio was 3.21, lower than 3.76 in the previous auction and also slightly below the average of 3.24 over the past 12 months. The spread, which measures the distribution of bid prices, was 0.25, higher than 0.02 last month. As there are signs of a recovery in domestic demand in Japan, coupled with inflows of funds from foreign investors supporting Japanese long-term government bonds, the yield on the benchmark 10-year bonds has dropped from a high of 3.115% in late September to 2.79%. This auction came at a time when U.S. Treasury yields were falling following the mid-term elections, with the Democratic Party gaining control of both the Senate and House of Representatives, alleviating market concerns about further increases in U.S. fiscal spending. Meanwhile, as expectations for an end to the Iran war have risen, international oil prices have also declined.