Sector Update: Financial Stocks Decline Late Afternoon

04:04 PM EDT, 09/23/2025 (MT Newswires) -- Financial stocks were lower in late Tuesday afternoon trading, with the NYSE Financial Index down 0.3% and the Financial Select Sector SPDR Fund (XLF) shedding 0.5%.

The Philadelphia Housing Index was easing 0.3%, and the Real Estate Select Sector SPDR Fund (XLRE) rose 0.8%.

In economic news, the US Q2 current account deficit narrowed to $251.31 billion from $439.82 billion in the prior quarter, compared with expectations for a $256.6 billion deficit from a survey compiled by Bloomberg.

The September flash reading of manufacturing conditions from S&P Global dropped to a two-month low reading of 52.0 from 53.0 in August, compared with an expected reading of 52.2 in a Bloomberg survey.

Bitcoin (BTC-USD) was 0.7% lower at $111,622, and the yield for 10-year US Treasuries fell 3.3 basis points to 4.11%.

In sector news, Royal Bank of Canada (RY) Chief Executive Dave McKay said the US plan to set a $100,000 fee on H-1B visa offers Canada a "material opportunity" to attract tech talent, Bloomberg reported, citing an interview with the CEO.

In corporate news, Toronto-Dominion Bank (MLWIQXX) unit TD Securities is being sued by a former executive who alleges the firm is unlawfully trying to enforce an "overbroad" and "non-compete agreement" and breached promises about his role and contributions. Toronto-Dominion Bank (MLWIQXX) shares were down 0.6%.

Bank of Montreal (BNKD) may sell some of its US branches with about $6 billion in deposits, the Wall Street Journal reported. Bank of Montreal (BNKD) shares added 0.8%.

Morgan Stanley (MS) is launching a collaboration with cryptocurrency infrastructure company Zerohash to allow clients of the bank's E*Trade unit to trade crypto coins starting in H1 2026, Bloomberg reported. Morgan Stanley (MS) shares were fractionally higher.

KKR (KKR) is holding its first board meeting in Asia this week in Tokyo, Reuters reported, citing a company spokesperson. The two-day meeting, which began Monday, includes top leadership such as co-founders George Roberts and Henry Kravis, and co-CEOs Joe Bae and Scott Nuttall, the spokesperson told Reuters. KKR shares were adding 0.2%.

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