JGB 10-year yield rise as Middle East tensions fuel inflation fears

By Satoshi Sugiyama

TOKYO, March 9 (Reuters) - Yields on 10-year Japanese government bonds (JGBs) jumped on Monday, as Middle East tensions prompted a spike in oil prices and fuelled inflation concerns.

The benchmark 10-year JGB yield JP10YTN=JBTC rose 5 basis points (bps) to 2.210%. Yields move inversely to bond prices.

"While growing risk aversion driven by concerns that the conflict will be prolonged could put downward pressure on interest rates, rising crude oil futures prices could intensify inflation concerns and thereby become a factor pushing interest rates higher," said Okasan Securities chief bond strategist Naoya Hasegawa and bond strategist Yuki Kimura in a report.

Other tenors are yet to be traded as of 2353 GMT.