Indian government bond yields rose on Monday, tracking U.S. peers after stronger-than-expected U.S. job growth data dampened bets of interest rate cuts by the Federal Reserve.

The benchmark 10-year yield ended at 7.0331%, following its previous close at 7.0168%.

Benchmark 10-year U.S. Treasury yields posted their biggest daily jump in two months on Friday after data showed the world's biggest economy created far more jobs than expected in May and annual wage growth re-accelerated. The yield was last at 4.4611% in Asia hours.

The U.S. nonfarm payrolls increased by 272,000 jobs, above economists' expectations of 185,000, while average hourly earnings rose 0.4% after having slowed to a 0.2% rate in April.

The odds of a rate cut in September have declined to 47% from 68% a week ago, while the expected aggregate cuts in 2024 are down to 36 basis points from nearly 50 bps, according to the CME FedWatch tool.

Meanwhile, the Reserve Bank of India (RBI) kept its key interest rate unchanged for the eighth consecutive meeting on Friday, and maintained its inflation projection while raising the growth forecast.

"RBI has clearly disassociated their rate actions from the Fed," said Sandeep Yadav, fixed income head at DSP Mutual Fund.

"While RBI does look at domestic compulsions before taking rate decisions, it has to also look at the collateral damage of the currency, just like any other emerging market central bank."

India and U.S. are due to publish their May retail inflation data this week, followed by the Fed's monetary policy decision. A status quo is expected and focus will be on policymakers' projections.

India's consumer inflation likely snapped a four-month downward trend in May due to rapidly rising food costs, according to economists polled by Reuters.

(Reporting by Bhakti Tambe; Editing by Varun H K)