TOKYO, May 11 (Reuters) - Japanese government bond yields dipped on Tuesday, as sharp fall in Japanese stock prices prompted safety bids in JGBs while an auction of 10-year JGBs drew fair demand.
The market was underpinned by a risk-averse mood in global financial markets as rising inflation worries hit global stocks, especially those with stretched valuations.
Benchmark 10-year JGB futures rose 0.07 point to 151.47 while the yield on the current 10-year JGB yield fell 0.5 basis point to a two-week low of 0.075%.
The auction of 2.6 trillion yen ($23.89 billion) 10-year JGBs by the Ministry of Finance on Tuesday attracted bids 3.04 times the offer.
While the bid-to-cover dropped from 3.54 times in the previous auction, traders said the results were in line with market expectations.
The 20-year JGB yield fell 0.5 basis point to 0.440%, its lowest in two weeks while the 30-year yield was flat at 0.645%.
The five-year yield was flat at minus 0.100%.
($1 = 108.83 yen)
(Reporting by Tokyo Markets Team; Editing by Rashmi Aich)