Analysts said there appear to be growing concerns that Trump's tax reform, infrastructure spending and deregulation may take longer to pass than initially thought.

Remarks from several U.S. Federal Reserve officials were also in focus, after the U.S. central bank last week raised interest rates for the third time since the 2008 global financial crisis.

Minneapolis Fed President Neel Kashkari said Monday that he voted against a rate hike last week because he wanted to see more inflation in the U.S.

Philadelphia Fed President Patrick Harker said that it's ok if inflation overshoots the Fed's inflation target as the labor market tightens.

Chicago Fed President Charles Evans said that the central bank will wait until June to decide on the next rate hike.

On the economic front, U.S. new orders for manufactured durable goods in February increased 3.9 billion U.S. dollars or 1.7 percent to 235.4 billion dollars, above market estimates.

Adjusted for seasonal influences, the Markit Flash U.S. Manufacturing PMI for March decreased to 53.4, hitting a 5-month low, from 54.2 in February.

In the week ending March 18, the advance figure for seasonally adjusted initial claims was 258,000, an increase of 15,000 from the previous week's revised level.

U.S. sales of new single-family houses in February 2017 were at a seasonally adjusted annual rate of 592,000, beating market consensus.

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