TOKYO, March 16 (Reuters) - Benchmark Japanese

government bond yields rose to a one-month high on Monday as the

escalating Middle East crisisfuelled expectations of higher

inflation and potential policy tightening by the Bank of Japan.

The 10-year JGB yield rose 3 basis points

(bps) to 2.270%, the highest since February 9. The 20-year JGB

yield climbed 4 bps to 3.145%.

Yields move inversely to bond prices.

Global bond yields are on the rise as the war in Iran, now

in its third week, pushes oil prices sharply higher and

increases pressure on central banks to combat inflation fears.

The BOJ is widely expected to keep its key interest rate

steady at its policy meeting on Thursday. Still,the combination

of surging imported energy costs and a weakening yen is

strengthening the case for a faster pace of rate hikes.

"Against the backdrop of growing momentum for further BOJ

rate hikes, short- to medium-term yields are likely to rise,

driven by the risk-neutral rate," Barclays analysts led by

Shinichiro Kadota said in a note.

The 30-year yield added 4.5 bps to 3.550%.

The yield on the 40-year JGB, Japan's longest

tenor, rose 5 bps to 3.785%.

The two-year yield, the one most sensitive to

BOJ policy rates, decreased 1 bps to 1.275%. The five-year yield

rose 0.5 bps to 1.685%.