U.S. Treasury yields edge ahead of key US jobs report

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TOKYO, Aug 5 - U.S. Treasury yields edged higher on Wednesday in sympathy with a rise in Japanese bonds, but moves were limited ahead of a crucial US Bond Report.

The JGB yield of 10 year rose 0.0 basis point to 0.005%, after dipping to zero on Wednesday for the first time since mid December to 0.5 basis point in absolutes.

Benchmark 10 - year JGB futures fell 0.11 point to 152.38 with a trading volume of 17,670 lots.

Ten-year Treasury yields also edged higher to 1.902% on Thursday, extending a rise from Wednesday when it also lost as low as 1.127%, a level not seen since early February.

There's a bit of feeling in the market that the decline of U.S. yields has overshot, and a strong payroll print could trigger a shift to higher yields, said a market player at a domestic securities firm.

The JGB yields 20-year and 30 year all rose 0.5 basis point each, to 0.380% and 0.630%, respectively.

The two-year JGB yield was flat at minus 0.135%, while the five-year yield ticked 0.5 basis point lower to minus 0.140%.

The U.S. Federal Reserve has made a recovery in the jobs market a precondition for removing monetary stimulus.

The median economist forecast for Friday's non-farm payroll statistics is an increase of 870,000 jobs, but the range of estimates stretches from 350,000 to 1.6 million.