NEW YORK–The first quarter of 2025 was not a good one for the stocks of major U.S. banks.

According to one analysis, U.S. bank stocks are on track for the worst quarterly slide since the collapse of regional lenders set off fears of a crisis two years ago, hit by the broader economic worries unleashed by President Donald Trump’s trade war.

The KBW Bank Index is down 6.4% since the start of the year, putting it on track for its worst three-month stretch since March 2023, Reuters reported. 

The six largest US banks stocks were all trading lower on March 30 as the market endured another large selloff ahead of Trump’s April 2 tariff rollout, Reuters added. 

“Markets have been gripped by anxiety that Trump’s trade policy shift risks reigniting inflation and slowing the pace of the nation’s economic growth, with surveys showing increasing worries among US consumers,” Reuters reported. “Analysts have downgraded stocks and cut earnings estimates for financial companies ahead of the next slate of earnings reports.”

Shares Fall

Reuters noted that during the week of March 24 Jefferies Financial Group Inc.’s shares fell after it reported disappointing earnings amid a decline in investment-banking and capital-markets revenue. 

JPMorgan Chase & Co., Wells Fargo and Morgan Stanley will kick off the quarterly earnings for the biggest U.S. banks on April 11.