Financial stocks were declining pre-bell Thursday, with the State Street Financial Select Sector SPDR ETF (XLF) down 0.7%.

The Direxion Daily Financial Bull 3X Shares (FAS) was 2% lower and its bearish counterpart Direxion Daily Financial Bear 3X Shares (FAZ) was up 1.9%.

Corebridge Financial (CRBG) and Equitable (EQH) said that they have agreed to combine in an all-stock merger valuing the combined company at about $22 billion. Shares of Corebridge Financial were up more than 1% premarket.

Blackstone (BX) stock was down more than 1% after the company said it has invested $250 million in Advanced Digital Gaming Technology, a newly established digital payments and data technology company.

ING Groep (ING) said companies face the risk of significantly higher funding costs as stress builds in the private credit market, driven by heavy exposure to the software sector and renewed inflation pressure linked to the Iran war. ING Groep stock was down more than 1% pre-bell.