TOKYO, May 12 (Reuters) - Japanese government bond

yields rose on Monday, as signs of progress in U.S.-China trade

negotiations bolstered investors' risk appetite, prompting a

sell-off in safe-haven assets.

The 10-year JGB yield touched 1.4%, its

highest since April 10, and was last at 1.38%, up 3 basis points

(bps) from the previous session.

"Investors' risk appetite was lifted after they saw signs of

progress in the talks between the United States and China," said

Katsutoshi Inadome, a senior strategist at Sumitomo Mitsui

Trust Asset Management.

"The market still has not seen development of talks between

Japan and the U.S., but the fate of the talks between China and

the United States is important."

Over the weekend, U.S. Treasury Secretary Scott Bessent

touted "substantial progress" in trade discussions, while

Chinese officials said the sides had reached "important

consensus" and agreed to launch another new economic dialogue

forum.

Geopolitical tensions also looked to be easing as a fragile

ceasefire held between India and Pakistan, while Ukrainian

President Volodymyr Zelenskiy said he was ready to meet Vladimir

Putin in Turkey on Thursday for talks.

The five-year yield rose 3 bps to 0.91%, while

the two-year JGBs were not traded, as of 0542 GMT.

The 20-year JGB yield rose to 2.4%, its

highest since April 15, and was last up 5 bps at 2.39%.

The 30-year JGB yield jumped 5 bps 2.955%

ahead of an auction for the bonds with the same maturity on

Tuesday.

The 40-year JGB yield rose 4.5 bps to 3.435%.