Japan's Nikkei falls to 2-month low after BOJ's policy tweak

(Adds Nikkei move after BOJ decision and details)

TOKYO, Dec 20 (Reuters) - Japan's Nikkei share average fell more than 2% to a two-month low after the Bank of Japan took steps to review its ultra-easy rate policy on Tuesday.

The Nikkei share average fell over 2% to below 27,000, its lowest level in more than two months, following the central bank's monetary policy tweak. The broader Topix lost more than 1%.

The BOJ said it would review its yield curve control policy and widened the trading band for the 10-year government bond yield in an unexpected hawkish tweak.

The central bank said the policy board decided unanimously to review the operation of its yield curve control, which pins short-term yields at -0.1% and the long-term yield around zero, amid a decline in market function. (Reporting by Junko Fujita; Editing by Sherry Jacob-Phillips)