TOKYO, Jan 16 (Reuters) - Japanese government bond

yields fell on Thursday amid pressure from a steep slide in U.S.

bond yields overnight, as cooling core inflation reignited bets

for a Federal Reserve interest rate cut by July.

However, rising bets for the Bank of Japan to raise rates at

its meeting next week bolstered the yen and mitigated the

decline in domestic yields.

The 10-year JGB yield fell 1 basis point to

1.24% as of 0300 GMT, retreating from Wednesday's peak of

1.255%, a level previously not seen since April 2011.

The benchmark yield had earlier fallen as low as 1.225% but

pared the decline as the yen strengthened to a nearly one-month

high of 155.21 per dollar.

The 10-year U.S. Treasury yield stood at 4.6612%

on Thursday, after plunging as much as 15 bps to a one-week low

of 4.6370% in the prior session.

Comments from BOJ Governor Kazuo Ueda and one of his

deputies, Ryozo Himino, this week opened the door to an imminent

tightening of policy. Reuters and other media reported that a

rate hike is likely on Jan. 24, barring a resurgence in market

volatility after Donald Trump's inauguration as U.S. President.

"Although there is still elevated uncertainty around the

Trump administration's management of policy and the market's

reaction thereto, it appears that at least the BOJ's stance on

rate hikes has completely changed since December," Barclays

analysts wrote in a report, as they brought forward their call

for the next BOJ hike to this month from March.

The five-year JGB yield fell 1 bp to 0.88%.

The 20-year yield fell 1 bp to 2.005%, while

the 30-year yield was flat at 2.355%.

The two-year JGB had not yet traded on the

day.

Benchmark 10-year JGB futures rose 0.19 yen to

140.78. Yields move inversely to bond prices.