US big banks fall as US-China trade war escalates

Shares of big U.S. banks fall premarket, extending tariffs-induced losses after China said it will impose 84% tariffs on U.S. goods from Thursday, up from the 34% previously announced

Wells Fargo WFC.N down 2.8%, Morgan Stanley MS.N and Goldman Sachs GS.N down 2%

Citigroup C.N and Bank of America BAC.N down 1.8% and JPMorgan Chase JPM.N down 1.4%

U.S. President Donald Trump's "reciprocal" tariffs on dozens of countries took effect on Wednesday, including massive 104% duties on Chinese goods

Investment banks are expected to take a hit as tariff-driven uncertainty hampers dealmaking and capital markets activity, while lower consumer confidence could curb spending and loan demand

The KBW Bank Index .BKX has fallen 15.8% since Trump's tariff announcement last week

Big banks begin reporting quarterly results this week