V557 Mon: Hot water vapour observed on an eruptive young star

In this paper, we present observations of an eruptive young star in the Rosette Nebula, identified by the Gaia Science Alerts system using Gaia time series data. We aim to investigate the evolution of the brightness and mass accretion rate of V557 Mon throughout its outburst and subsequent decline. In addition, we trace the evolution of the inner accretion disk during the outburst by monitoring molecular emission features. We compiled multi-band photometric time series from Gaia, ZTF, and several 1 m-class ground-based telescopes and obtained optical and near-infrared spectra at multiple epochs covering the outburst and fading phases. Stellar parameters were derived from quiescent colour/spectra and spectral energy distribution (SED) fitting. We also measured the mass accretion rate and fit models to molecular emission bands. Since late 2024, V557 Mon has undergone a year-long outburst consistent with EXor variability. Based on quiescent photometry, V557~Mon has a spectral type of M1 with an extinction of AV = 1.8+_0.3 mag, consistent with a 0.4-0.5 M_sol star at an age of 2 Myr. Our multi-epoch spectra and u-band photometry indicate a peak accretion rate of 6.3x10^(-7)M_sol/yr during the outburst, roughly 70 times higher than in quiescence. We report the detection of hot water vapour emission bands, together with TiO, VO, and CO emission features. Using ExoMol models, we measured the inner-disk temperature changed from 3000 K to 2000 K during the fading phase of the outburst. We report a recent EXor outburst in a low-mass Class II YSO. Our observations reveal the transient formation of a hot molecular inner disk, traced by variable water vapour emission during the EXor event. A positive correlation is found between the molecular excitation temperature and the overall stellar brightness.