Treasuries prices rose on Monday on more news of deteriorating financial markets as investors fled to less risky investments.

Bear Stearns Cos. shares fell today after speculation that the Wall Street bank may not have enough access to capital. Bear Stearns officials rejected the rumors as completely unfounded. Shares were also hit after rating agency Moody's downgraded of a portion of the company's mortgage deals.

Two-year treasuries rose 2/32 in price to yield 1.495 percent at 5:22 p.m. in New York. Ten-year treasury notes were up 20/32 in price to yield 3.466 percent.

In other financial markets news, an affiliate of Carlyle Group asked lenders to give it more time and refrain from foreclosing and liquidating collateral tied to loans.

Meanwhile, an analyst at Credit Suisse said government-sponsored agency Freddie Mac could write down as much as $5 billion in subprime mortgages and mortgage bonds.