Indian government bond yields rose in early trade on Thursday, with the benchmark yield back above the 7.35% mark, as their U.S. peers resumed their upward journey after a brief fall earlier in the week. The 10-year benchmark bond yield was at 7.3605% as of 10:00 a.m. IST, after ending at 7.3408% in the previous session. U.S. yields rose after an auction showed weak demand and following data that indicated new-home sales accelerated in September, affirming market expectations of prolonged higher-for-longer interest rates. Market participants expect the central bank to conduct OMO sales worth 500 billion rupees in the current quarter.