TOKYO: Japan’s 10-year government bond yields rose on Friday as their US peers hovered around three-year highs, while investors focused on remarks by the Bank of Japan’s governor later in the day.

The 10-year JGB yield rose 0.5 basis point to 0.205% and the 20-year JGB yield rose one basis point to 0.680%.

US Treasury yields held just below three-year highs overnight, after the Federal Reserve signalled it would hike rates more aggressively than expected to tame soaring inflation.

In contrast, the Bank of Japan maintained its massive stimulus on Friday and warned of “very high uncertainty” over the economic fallout from the Ukraine crisis, signalling its resolve to keep monetary policy ultra-loose for the time being.

As widely expected, the central bank kept unchanged its short-term interest rate target at -0.1% and a pledge to guide the 10-year government bond yield around 0%.

The decision was made by an 8-1 vote.

BOJ Governor Haruhiko Kuroda is set to speak to media later in the day.

Benchmark 10-year JGB futures fell 0.07 point to 150.04, with a trading volume of 6,428 lots.

Yields on super-long notes were unchanged, with the 30-year JGB yield flat at 0.895% and the 40-year JGB yield at 0.925%.

The two-year JGB yield rose 0.5 basis point to minus 0.025% and the five-year yield rose 0.5 basis point to 0.035%.