Financial Stocks Climb as Bitcoin and Treasury Yields Rise
Financial stocks experienced a rise during Monday afternoon trading, with the NYSE Financial Index and the State Street Financial Select Sector SPDR ETF (XLF) each gaining 0.7%. Meanwhile, the Philadelphia Housing Index dropped by 0.6%, and the State Street Real Estate Select Sector SPDR ETF (XLRE) saw a decline of 0.3%. Bitcoin (BTC-USD) also showed a slight increase, rising 0.1% to $85,380, while the yield for 10-year US Treasuries increased by 6.5 basis points to 5.348%.
In economic news, the Institute for Supply Management's US services index fell to 54.9 in September from 55.4 in August, slightly below expectations of 55.0. Conversely, the S&P Global US services index improved to 58.8 in September from a flash reading of 58.7 and August's 56.5, surpassing expectations for no revision.
On the corporate front, Allstate (ALL) is among six major insurers under a Senate probe into claim payment practices, as reported by the Wall Street Journal. Allstate shares rose 0.2%. Intercontinental Exchange (ICE) launched new tanker and container freight futures and options, with average daily volume across its freight markets increasing by 33% this year. ICE shares gained 0.6%. Ares Management (ARES) is seeking a multimillion-pound upfront payment from BT Group to support a potential takeover of TalkTalk, with Ares shares gaining 0.4%.
Separately, Allegion (ALLE) announced the acquisition of privately held Overly Door Company, a manufacturer of custom specialty doors. The terms of the transaction were not disclosed. Additionally, McKesson and private equity firm Clayton Dubilier & Rice are reportedly close to a deal worth over $5 billion to acquire Option Care Health, with Option Care's share price rising by 21% in after-hours trading. Centalion Group also acquired upstream and midstream natural gas assets in the Haynesville region from Silver Hill Energy Partners, with the platform valued at approximately $2 billion.