TOKYO, June 28 (Reuters) - Benchmark 10-year Japanese government bond prices slipped on Friday, hurt by data that showed Japan's consumer prices stopped falling in May for the first time in seven months and industrial production rose more than expected.
* The 10-year yield was up 1.5 basis point at 0.850 percent, reversing an earlier rise on the back of lower U.S. Treasury yields overnight. Earlier in the session, it fell as much as 0.825 percent to a one-week low.
* In further signs Tokyo's expansionary policies are making some progress towards ending 15 years of deflation, Japan's consumer prices stopped falling in May and labour demand reached its strongest level in five years.
Industrial production rose more than expected in May in a sign of strength in the corporate sector.
* "There are some auctions coming up in July, so supply will be in focus again," said Ayako Sera, senior market economist at Sumitomo Trust Bank. "There are also external factors, investors are still warily watching developments in China ... and are waiting to see what the U.S. payrolls report says, so it is easy to expect a more uncertain mood."
"But today, the domestic stocks are strong, and the Japan data were upbeat, so the market is following that."
* The 10-year yield has consolidated in a range of 0.80 to 0.90 percent in recent weeks after dropping to a record low of 0.315 percent a day after the Bank of Japan unveiled its massive easing scheme in early April, and then climbed to a high of 1.0 percent on May 23.
* Still, it has risen 29 basis points this quarter, on track for its sharpest quarterly rise in five years, although for the year, it is only up 5.5 basis points.
* Ten-year JGB futures dipped 0.06 point to 142.63 on Friday. They have fallen 2.84 points this quarter, heading for their biggest three-month fall in five years.
* The 20-year yield was unchanged at 1.690 percent, though the 30-year yield eased 1 basis point to 1.805 percent.
* The 20-year yield has risen 31.5 basis points in April-June so far, on track for its biggest jump in nine years, while the longer-dated 30-year yield has added 29.5 this quarter, also heading for its sharpest rise in nine year.