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Sector Update: Financial Stocks Fall Wednesday

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Financial stocks fell Wednesday with the NYSE Financial Index dropping 0.8% and the State Street Financial Select Sector SPDR ETF (XLF) shedding 1.1%.

The Philadelphia Housing Index declined 1.4%, and the State Street Real Estate Select Sector SPDR ETF (XLRE) lost 0.8%.

Bitcoin (BTC-USD) fell 1.2% to $79,517, and the yield for 10-year US Treasuries rose 1.8 basis points to 4.48%.

In economic news, the US producer price index for April rose 1.4%, the fastest pace in four years, after a 0.7% gain in March, according to the Bureau of Labor Statistics. The increase topped the 0.5% gain expected in a Bloomberg poll.

In corporate news, Two Harbors Investment (TWO) said its board rejected a revised unsolicited takeover proposal from UWM (UWMC), saying the bid was inferior to its existing merger agreement with CrossCountry Mortgage. Two Harbors shares fell 1.1%, and UWM dropped 4.3%.

Wells Fargo (WFC) shares fell 2.2%. The company is marketing investment-grade bonds in as many as three parts, with maturities between three and six years, Bloomberg reported.

Blackstone (BX) has withdrawn from talks for a proposed $4 billion deal involving New World Development after negotiations broke down over control of the company, Bloomberg reported. Blackstone shares fell 2.3%.

JPMorgan Chase (JPM) reshuffled leadership in its investment-banking unit amid a rebound in global dealmaking activity, according to media reports. JPMorgan shares fell 1.5%.

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