TOKYO, Oct 2 (Reuters) - Japanese government bonds slipped on Monday, tracking higher U.S. Treasury yields and undermined by indications that Japan's economy is improving.
The 10-year cash JGB yield added 1.5 basis points to 0.075 percent, while the 10-year JGB futures contract finished down 0.17 point at 150.18.
In the superlong zone, the 20-year JGB yield added 1.5 basis points to 0.590 percent, while the 30-year JGB yield also rose 1.5 basis points to 0.875 percent.
Weighing on bond market sentiment, the Bank of Japan's closely watched tankan survey showed that big manufacturers have more confidence in business conditions than they have had for a decade as a weak yen and robust global demand add momentum to the economic recovery.
Separately, the Markit/Nikkei Japan Manufacturing Purchasing Managers' Index showed that Japanese manufacturing activity in September expanded at the fastest pace in four months, according to revised figures released on Monday.
The 10-year U.S. Treasuries yield rose to 2.358 percent in Asian trading, compared to Friday's U.S. close of 2.326 percent.
The BOJ maintained the target amount for its government bond buying programme at its regular market operations in October from September, the central bank's bond buying plan released on Friday showed. (Reporting by Tokyo markets team; Editing by Biju Dwarakanath)