"Before the performance announcement, US bank stocks welcomed their worst quarterly performance since the 2020 crisis in 2023."

The impact of the broader economic concerns triggered by Trump's trade war could potentially lead to the most severe quarter decline for Bank of America Corp stocks since fears of a regional bank collapse crisis two years ago. The KBW Bank Index has dropped 5.1% since the beginning of the year, marking the worst performance in three months since March 2023. On Monday morning, all six major US bank stocks were trading lower, with futures indicating another wave of massive sell-offs before Trump's tariffs were implemented on April 2. The market has been worried about Trump's trade policy shifts potentially reigniting inflation and slowing down the pace of economic growth in the US, with surveys showing increasing consumer concerns. Analysts have lowered stock ratings and profit expectations for financial companies ahead of the next round of earnings releases. Last week, Jefferies Financial Group Inc. reported disappointing earnings due to a decline in its investment banking and capital markets revenue, leading to a significant drop in the company's stock price. This could serve as a warning signal for other banks as the market focuses on escalating economic uncertainties and the anticipated mergers and IPO boom has yet to materialize. JPMorgan Chase, Wells Fargo & Company, and Morgan Stanley will kick off the earnings season on April 11th.