Sector Update: Financial Stocks Fall in Afternoon Trading

02:01 PM EST, 02/27/2026 (MT Newswires) -- Financial stocks declined in Friday afternoon trading, with the NYSE Financial Index dropping 2.1% and the State Street Financial Select Sector SPDR ETF (XLF) falling 2.5%.

The Philadelphia Housing Index was climbing 1%, and the State Street Real Estate Select Sector SPDR ETF (XLRE) was up 0.6%.

Bitcoin (BTC-USD) was falling 2.6% to $65,473, and the yield for 10-year US Treasuries was dropping to around 3.97%.

In economic news, the US Producer Price Index rose by 0.5% in January following a 0.4% increase in December, according to the Bureau of Labor Statistics on Friday, above the 0.3% gain expected in a Bloomberg survey. After excluding the more volatile food and energy prices, core PPI rose by 0.8%, more than the 0.3% gain anticipated and following a 0.6% jump in the previous month.

In corporate news, Market Financial Solutions, the failed UK mortgage firm backed by Barclays (BCS) , Apollo Global Management's (APO) Atlas SP Partners, Jefferies Financial (JEF) and others, may have a 930-million-pound ($1.3 billion) collateral shortfall for its loans, Bloomberg reported, citing documents from Zircon Bridging and Amber Bridging it obtained. Barclays (BCS) shares fell 4%, Apollo slumped past 8%, and Jefferies dropped past 10%.

TPG (TPG) has a total exposure to Market Financial Solutions of 44 million pounds ($59 million), Bloomberg reported. TPG shares were down 4.4%.

BlackRock's (BLK) Global Infrastructure Partners and EQT are in advanced talks to buy AES (AES), Bloomberg reported. BlackRock (BLK) shares were falling around 3%.

Block (XYZ) shares jumped past 14% after it posted higher Q4 adjusted net income and revenue. The company also announced a plan to cut its workforce by more than 40%.

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