The 10-year benchmark bond yields are up 2 basis points at 8.40 percent.
A sharp rally was seen in global crude prices in recent sessions to $96 levels from sub $90 last week after EU leaders agreed to support ailing euro zone banks and preserve the single currency.
This weighed on bonds as it is seen stoking inflationary pressure.
Investors moved back into higher-yielding riskier assets, which triggered selling in bonds.
The 8.15 percent 2022 bond, the new benchmark bond from Tuesday, at 8.19 percent, up 1 basis point from previous close.
