Lates News

The Bank of America stated that the stock performance of Wall Street banks is expected to outperform the S&P 500 index because the chaos caused by tariffs may have peaked. "Tariffs caught the market off guard, but the 'peak chaos' may be behind us," analysts Ebrahim H. Poonawala and others wrote in a report released on Wednesday. They stated that although the economic environment remains uncertain and volatile, bank profitability has been solid, with bank stock earnings per share revisions outperforming the S&P 500 index so far this year. In 2024, bank stocks outperformed the S&P 500 index with the KBW Bank Index rising 33%, compared to a 23% increase in the S&P 500 index during the same period. However, this year, the trends of bank stocks and benchmark indices have been more consistent, with the KBW index rising by less than 1% and the S&P 500 index increasing by 1.7%.