TOKYO, Jan 7 (Reuters) - Japanese government bond prices slipped on Thursday, taking cues from a drop in U.S. Treasuries after Democrats won control of the U.S. Senate, clearing the way for President-elect Joe Biden to expand stimulus and infrastructure spending.
That offset any potential boost from rising domestic COVID-19 infections, which forced the Japanese government to declare a state of emergency in greater Tokyo area.
Benchmark 10-year JGB futures fell 0.15 point to 151.78, with a trading volume of 27,418 lots by late afternoon trade.
In the cash bond market, the 10-year JGB yield rose 1 basis point to 0.035%, its highest level in two months while the 20-year yield rose 1 basis point to 0.405%, a level last seen in mid-November.
The 30-year JGB yield rose 1 basis point to 0.655%.
At the shorter end, the two-year yield rose 0.5 basis point to minus 0.120% while the five-year yield added 0.5 basis point to minus 0.105%.
The 10-year U.S. Treasuries rose to a 10-month high of 1.054% on Wednesday.
Reporting by Tokyo Markets Team, Editing by Sherry Jacob-Phillips