SINGAPORE, May 31 (Reuters) - U.S. Treasury yields rose sharply to one-week highs on Tuesday as trading resumed after a U.S. holiday to a backdrop of higher oil prices, hot European inflation data and hawkish comments from a Fed Governor.

Ten-year treasuries slumped in price to see yields jump more than 10 basis points (bps) to 2.8530% in earlier trade. By 0911 GMT, they were still up 9 bps at 2.83% and set for the biggest daily rise in two weeks.

Two-year yields were 7 bps higher at 2.56%, easing from an earlier one-week high of 2.589%.

Tuesday's sell-off comes after last week's decline in the 10-year yield to a six-week low of 2.706% in markets that have vacillated between expectations of aggressive Fed front-loading of rate rises and fears of stagflation.

"The market seems to go through occasional gyrations at the moment," said Rob Carnell, head of research for Asia-Pacific at ING.

"We have been quite pessimistic, with yields down where they are, and equities having sold off, and now we are having a couple of days when we decide whether or not this is a bottom."

Brent crude futures rose above $123 a barrel after the European Union vowed to slash imports of Russian oil by year's end.

Treasuries were also catching up with a sharp rise in German bond yields on Monday after German consumer prices were reported to have increased at their fastest pace in half a century. Euro zone inflation rose to another record high in May, data showed on Tuesday, challenging the European Central Bank's view that gradual rate increases from July will suffice.

Hawkish remarks from U.S. Federal Reserve Governor Christopher Waller also wound back recent expectations that the Fed might pause for breath after hikes in June and July.

"I am advocating 50 (basis point hikes) on the table every meeting until we see substantial reductions in inflation. Until we get that, I don't see the point of stopping," Waller said.

Waller's comments came ahead of a meeting on Tuesday between Fed Chair Jerome Powell and U.S. President Joe Biden for a discussion called by the White House on the state of the American and global economies.

"This broadening of inflationary pressures that is really about food and energy is not just a European story; it is going to be a global story," said Rodrigo Catril, senior currency analyst at National Australia Bank in Sydney.

"From a central bank's perspective, it will pose quite an interesting dilemma," he added. "Because we might see a decline in core inflation, but if the headline inflation remains elevated by these factors ... then that argument about declining core inflation being a reason for central banks to ease their concerns around inflation may actually sound hollow."

Fed funds futures show traders are pricing in 50-basis-point hikes at each of the Fed's June and July meetings and some probability of a similar move in September. (Additional reporting by Alun John, Vidya Ranganathan and Yoruk Bahceli; Editing by Bradley Perrett, Kirsten Donovan)