TOKYO, Feb 5 (Reuters) - Japanese government bond (JGB)

yields hit new multi-year highs in early trade on Wednesday

after government data showed a rise in wages, bolstering chances

of further interest rate hikes.

The 10-year JGB yield rose 2 basis points

(bps) to 1.295%, its highest since April 2011.

The two-year JGB yield, sensitive to the Bank

of Japan's monetary policy, rose 2 bps to 0.76%, its highest

since October 2008.

Japan's December inflation-adjusted real wages rose 0.6%

year-on-year thanks to a wintertime bonus bump, preliminary

government data showed, with government officials expressing

optimism that wage hike momentum ahead is growing.

Wage increases are seen as a key factor for the BOJ to raise

interest rates further. The market is divided about how far the

BOJ policy rate will rise, making it hard for investors to buy

JGBs, strategists said.

The five-year yield rose 2.5 bps to 0.95%, its

highest since November 2008.

(Reporting by Junko Fujita; Editing by Subhranshu Sahu)