India's 10-year government bond yield rebounded to an eight-week high near 6.85% after hawkish minutes from the Reserve Bank of India's Aug. 3-5 meeting strengthened expectations that interest-rate increases could come earlier than previously anticipated. The RBI's Monetary Policy Committee kept the benchmark repo rate at 5.25% and retained a neutral stance, but Deputy Governor Poonam Gupta said there was no scope for further easing and that a case for a rate hike could emerge during fiscal 2026. Governor Sanjay Malhotra warned that higher food, fuel and other input costs could broaden inflationary pressure and require tighter policy. The benchmark 6.94% 2036 bond yield rose 4 basis points to 6.86%, while five-year yields climbed as much as 8 basis points. July CPI inflation was 4.45%, within the RBI's 2%-6% tolerance band but above its 4% medium-term target. Brent crude near $92 a barrel, along with stalled US-Iran peace efforts and tensions around the Strait of Hormuz, added to concerns about supply disruptions and inflation in an economy that imports nearly 90% of its crude oil.