The yield on India’s 10-year G-Sec hovered around 6.95%, extending gains for a third consecutive session to multi-week highs, as a rise in US Treasury yields and geopolitical risks triggered fresh selling in Indian bonds. The benchmark yield climbed to its highest since June 8 after US forces struck two Iranian missile launchers, prompting retaliatory attacks on US personnel in Jordan and raising concerns over escalation. Meanwhile, the US 10-year Treasury yield climbed above 4.75%, while Brent held near $91 a barrel, adding to inflation concerns and expectations of tighter monetary policy in India. Against this backdrop, markets raised bets on a 25-basis-point Federal Reserve rate hike to 66% from about 41% a week earlier following hawkish remarks from Fed Chair Kevin Warsh. Domestically, 7.8% GDP growth in the April-June quarter further strengthened expectations that the Reserve Bank of India could move toward tighter policy.