TOKYO, June 16 (Reuters) - Japanese government bonds (JGBs)

held steady on Tuesday as investors awaited an expected policy

rate hike from the central bank and signals for future

tightening.

Here are a few details:

* Benchmark 10-year JGB futures fell 0.17 yen to

128.09.

* The benchmark 10-year JGB yield held steady

at 2.575% after falling 6 basis points (bps) in the prior

session. Yields move inversely to bond prices.

* The Bank of Japan is set to raise its key rate to a

31-year high of 1% at the end of its two-day meeting on Tuesday.

* JGBs rallied on Monday after the United States and Iran

agreed to a peace deal, sending oil prices lower and easing

inflation worries.

* Other JGB tenors had yet to trade shortly after the market

open.

(Reporting by Rocky Swift; Editing by Subhranshu Sahu)