01:45 PM EDT, 04/07/2025 (MT Newswires) -- Financial stocks were falling in Monday afternoon trading, with the NYSE Financial Index dropping 1% and the Financial Select Sector SPDR Fund (XLF) off 0.3%.

The Philadelphia Housing Index was falling 2.4%, and the Real Estate Select Sector SPDR Fund (XLRE) was down 1.8%.

Bitcoin (BTC-USD) was 3.6% lower at $78,482, and the yield for 10-year US Treasuries jumped 19.1 basis points to 4.18%.

In economic news, President Donald Trump said Monday that he plans to impose an additional 50% tariff on China if the country fails to withdraw the retaliatory tariff it had announced last week on the US. "Additionally, all talks with China concerning their requested meetings with us will be terminated!" Trump wrote in a message on Truth Social.

Separately, Trump will veto the proposed bipartisan legislation that would limit his ability to impose tariffs on imports, Axios reported Monday.

In sector news, the leaders of some of the world's top banks held a call on Sunday to discuss the impact of Trump's tariffs on financial markets and the global economy, Sky News reported Monday. Those who took part in the call included Bank of America (BAC) Chief Executive Brian Moynihan, Barclays ( JJCTF ) CEO C. S. Venkatakrishnan, and HSBC ( HSBC ) CEO Georges Elhedery, along with executives from Citigroup ( C ) and JPMorgan Chase (JPM), the report said.

Wells Fargo Investment Institute lowered its 2025 target level for the S&P 500 and cut earnings estimates for companies part of the index to reflect a US economic slowdown amid an aggressive tariff policy.

In corporate news, US midcap banks face risks to growth, earnings-per-share estimates, and loan activity amid uncertainty about the macroeconomic outlook heightened by tariffs and the escalating global trade war, Morgan Stanley said in a report Monday. The firm downgraded East West Bancorp ( EWBC ) to equalweight from overweight citing its exposure to affiliated clients in Asia. The analysts also downgraded Comerica ( CMA ) to underweight from equalweight. East West shares fell 1.5% and Comerica ( CMA ) was down 0.4%.