TOKYO, Sept 18 (Reuters) - Shorter-dated Japanese bond

yields edged higher on Thursday as the central bank began a

two-day policy meeting and candidates threw their hat in the

ring to become the nation's next leader.

The Bank of Japan is widely expected to stand pat on key

rates on Friday. Comments from Governor Kazuo Ueda will be

scrutinised for hints of when it will resume its long-term

normalisation strategy after massive, decade-long stimulus.

The benchmark 10-year JGB yield rose by half

a basis point (bp) to 1.595%, the five-year yield

increased by 0.5 bp to 1.15%, and the two-year yield

added the same amount to 0.88%. Yields rise when

bond prices fall.

Meanwhile, the 20-year yield slipped 1 bp to

2.625% and the 30-year fell 2 bps to 3.190%.

The BOJ meeting follows one by the U.S. Federal Reserve on

Wednesday, where it came through on an expected rate cut and

forecast two more this year.

The BOJ has delayed rate hikes as it assesses the impact of

U.S. tariffs on Japan's economy, but is still expected to

tighten by early next year, said Kei Fujimoto, senior economist

at SuMi Trust Asset Management.

"We anticipate that the BOJ will carefully raise interest

rates while assessing economic conditions and considering the

impact on financial markets," Fujimoto said. ",going forward we

expect the 10-year yield to rise gradually."

JGB yields have been on an upswing in recent months, with

super-long-term rates hitting record levels. The moves are part

of a global trend that reflects concerns over widening deficits

of indebted nations and also Japan-specific issues, such as

political uncertainty and decreasing bond purchases from the

BOJ.

Sanae Takaichi, a veteran lawmaker and fiscal dove, said on

Thursday she would run in the ruling Liberal Democratic Party

leadership race on October 4 to replace outgoing Prime Minister

Shigeru Ishiba, who is comparatively hawkish.

Toshimitsu Motegi, another leadership candidate, said

separately he would aim to prevent a sell-off in JGBs by keeping

deficits in check.