JGB yields rise on vaccine, report of Yellen as likely U.S. Treasury secretary

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TOKYO, Nov 24 (Reuters) - Japanese government bond yields rose on Tuesday as hopes for an inexpensive coronavirus vaccine and expectations for more fiscal spending under a new U.S. government reduced the appeal of holding debt.

AstraZeneca said on Monday its COVID-19 vaccine could be up to 90% effective, cheaper to make and easier to ship than rival vaccines, which prompted a shift of money to equities from government debt.

Bond prices also took a hit after a media report said that U.S. President-elect Joe Biden will choose former Federal Reserve Chair Janet Yellen as the next Treasury secretary. Yellen is seen as an advocate of more fiscal stimulus.

Benchmark 10-year JGB futures fell 0.12 point to 152.10, with a trading volume of 17,269 lots.

The 10-year JGB yield rose 1 basis point to 0.020%. The 20-year JGB yield rose 1.5 basis points to 0.390%.

The 30-year JGB yield rose 1.5 basis points to 0.640%, but the 40-year JGB yield was unchanged at 0.660%.

At the middle of the yield curve, the five-year yield rose 1 basis point to minus 0.120%.

At the short end, the two-year JGB yield rose 0.5 basis point to minus 0.150%. (Reporting by the Tokyo markets team; Editing by Vinay Dwivedi)