AP - Prices for U.S. Treasuries rose Monday as investors bought into government paper on more bad news from troubled mortgage lender New Century.

FT.com - Trading in New Century Financial (NYSE:NEW) shares was suspended on Monday after the second largest US subprime mortgage lender said its banks had cut off credit or indicated their intention to do so, increasing the likelihood of a bankruptcy filing or asset liquidation in the near future.

AP - New Century Financial Corp. said Monday all of its lenders have cut funding or announced their intent to halt financing after the subprime mortgage lender failed to make payments, pushing the company further toward bankruptcy.

AP - The government is monitoring the distress in the subprime mortgage industry and believes the current situation is 'manageable,' a high-level Treasury Department official said Monday.

AFP - A major player in the high-risk segment of the US mortgage market said Monday its credit was being cut off, prompting renewed concerns about fallout into the overall financial system.

FT.com - The financial difficulties facing leading US subprime mortgage broker New Century weighed on global markets on Monday.

AP - The government is monitoring the distress in the subprime mortgage industry and believes the current situation is manageable, a Treasury Department official said Monday.

AP - The prospect of bankruptcy loomed over New Century Financial Corp., as the subprime mortgage lender scrambled Monday to stay afloat after all of its bank lenders cut off funding or informed the company of their intent to halt financing.

Reuters - Countrywide Financial Corp. , the largest U.S. mortgage lender and fourth-largest subprime lender, on Monday said it eliminated 108 jobs in its wholesale lending unit's subprime division.