US bank stocks have posted their longest losing streak since the 2008 financial crisis, with the KBW Nasdaq Bank Index falling for six straight weeks and losing 11% since early September, even though the largest lenders JPMorgan Chase (JPM), Bank of America (BAC), Citigroup (C) and Wells Fargo (WFC) reported solid results. The four banks set aside $7.6 billion for credit provisions in the quarter, down about 3% from a year earlier, while actual loan losses fell 5% and lending grew nearly 10%. Credit managers are more worried, however: about 60% expect corporate defaults to rise over the next 12 months, and 85% expect wider spreads on North American junk bonds over the next three months, both sharply higher than in the prior survey. Morgan Stanley still calls bank credit conditions “benign” apart from isolated commercial weakness, while investors fear that persistently high interest rates could squeeze borrowers.
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bankscreditJPMorganinterest rates
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Related tickers and likely impact
JPM
▼ Likely negativeJPMorgan Chase
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Financials |
| Industry | Diversified Banks |
| Market cap | $891.9B |
| Close on 10/16/2026 | 339.67 |
| Change that session | +1.23% |
SPY
▼ Likely negativeSPDR S&P 500 ETF
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/16/2026 | 763.31 |
| Change that session | -1.10% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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