TOKYO, March 17 (Reuters) - Japanese government bond prices slipped on Tuesday with a surge in Tokyo stocks and caution before a 20-year debt auction weighing on the market.
The benchmark 10-year JGB yield rose half a basis point to 0.420 percent. June 10-year futures declined 0.02 point to 147.03.
Japan's finance ministry will offer 1.2 trillion yen ($9.9 billion) of 20-year JGBs on Wednesday, with demand for the new issue possibly affected by the fact the Federal Reserve concludes its closely-watched Mar. 17-18 policy meeting later in the day.
The JGB market showed little reaction to the Bank of Japan's well-anticipated decision on Tuesday to stand pat on monetary policy and maintain its massive stimulus.
Participants are keeping an eye on whether BOJ Governor Haruhiko Kuroda touches on the debt market survey conducted by central bank in an attempt to strengthen dialogue with investors. Kuroda will talk to the media at an 0630 GMT policy meeting briefing.
The BOJ's bond buying-driven stimulus scheme has become a source of volatility in the debt market as it sucks up much of its liquidity.
The Nikkei reached a fresh 15-year high on Tuesday following gains in U.S. and European shares. ($1 = 121.3600 yen) (Reporting by Tokyo markets team; Editing by Eric Meijer)