U.S. government debt prices fell on Monday after Saudi Arabia and Russia agreed on the need to freeze oil output.
Oil prices jumped after the Saudi Arabian and Russian energy ministers said in a joint statement that an OPEC-led crude production cut would be extended from the middle of this year until March 2018.
Saudi Energy Minister Khalid al-Falih and his Russian counterpart Alexander Novak met on Monday in China's capital Beijing and jointly said that a deal to cut crude supplies in order to prop up the market would be extended from the middle of this year until March 2018.
Brent crude traded at $51.97 a barrel on Monday, up 2.22 percent, while U.S. crude was around $49.14 a barrel, rising 2.7 percent.
The yield on the benchmark 10-year Treasury notes, which moves inversely to price, rose to 2.3494 percent, while the yield on the 30-year Treasury bond was also higher at 3.0175 percent.
Treasurys
On the data front, the Empire State manufacturing index dropped to negative 1 in May from a print of 5.2 last month.
The National Association of Home Builders survey showed sentiment among home builders came in at 70 for May. Anything above 50 is considered positive sentiment. The index was at 58 in May of last year.
—CNBC's Fred Imbert and Reuters contributed to this report.