TOKYO, Sept 10 (Reuters) - Japanese five-year government

bonds fell on Wednesday ahead of a sale of the securities, the

first debt auction since the resignation of fiscally hawkish

Prime Minister Shigeru Ishiba.

The five-year yield rose 2.5 basis points

(bps) to 1.120%. The 10-year yield increased 2

bps to 1.580%. Yields rise when bond prices fall.

The Ministry of Finance will sell about 2.4 trillion yen

($16.28 billion) in five-year JGBs later in the day.

Yields on JGBs, particularly long-dated bonds, have surged

of late due to global concerns about fiscal deficits and as

pressure mounted on Ishiba from within his Liberal Democratic

Party (LDP) to step down following a poor election showing in

July.

Ishiba announced on Sunday that he would resign, setting up

a leadership race within the LDP that will also determine

Japan's next prime minister.

Among top contenders is Sanae Takaichi, a devotee of

"Abenomics" policies of Shinzo Abe - Japan's long-time leader

and former PM, who presided over massive stimulus and

unprecedented monetary easing.

The two-year JGB yield rose 2 bps to 0.855%.

($1 = 147.4200 yen)