U.S. Treasury yields rose as investors dumped safe haven assets on optimism tensions between the U.S. and North Korea have eased.
When it comes to geopolitics, North Korea tensions may have eased slightly after U.S. Secretary of State Rex Tillerson and U.S. Secretary of Defense Jim Mattis stated that the current U.S. administration would continue to pursue diplomatic resolutions with Pyongyang.
On Sunday, the two U.S. officials wrote in a commentary piece published in the Wall Street Journal that "the U.S. has no interest in regime change or accelerated reunification of Korea."
Signs global growth also bolstered investors Monday. Japan's economy grew in the second quarter at the fastest pace in more than two years as consumer spending and capital expenditure both rose.
The Japanese economy posted better-than-expected economic growth for the second quarter, growing at an annualized rate of 4 percent.
Looking to commodities, oil prices fell sharply on Monday as a slowdown in refining activity growth from China weighed on sentiment, according to Reuters.