TOKYO, Jan 25 (Reuters) - Japanese government bond prices slipped on Thursday, nudged lower when U.S. Treasury Secretary Steven Mnuchin backed a weaker dollar and sent U.S. bonds lower.
The benchmark 10-year yield rose 1 basis point to 0.0805 percent and the 30-year yield was 0.5 basis point higher at 0.825 percent.
JGB losses were limited as an auction of 20-year debt attracted ample investor demand and as Japanese stocks suffered losses.
The bid-to-cover ratio, a gauge of demand, at Thursday’s 1 trillion yen ($9.17 billion) 20-year JGB auction was 4.17, slightly above 4.12, the average ratio from the past 10 sales.
Japan’s Nikkei share average dropped to a 10-day low as a stronger yen hurt exporters.
Mnuchin’s comments sparked concerns that a weaker dollar could dampen overseas investor demand for U.S. debt, hurting U.S. Treasuries overnight. ($1 = 109.0100 yen) (Reporting by the Tokyo markets team; Editing by Eric Meijer)