US big banks fall as US-China escalate trade war

Shares of big U.S. banks extend losses, paring Wednesday's gains after U.S. President Donald Trump's move to temporarily lower the heavy tariffs on dozens of countries

However, tariffs on China now total 145%, the White House told CNBC on Thursday, up from the 125% announced on Wednesday, which was Trump's response to China retaliating to the previous 104% U.S. tariffs with 84% duties on U.S. imports

Goldman Sachs GS.N down 4.9%, Citigroup C.N down 4.7%, Morgan Stanley MS.N and Wells Fargo WFC.N down 4.4% each

Bank of America BAC.N falls 4.1% and JPMorgan Chase JPM.N down 3.3%

Despite the temporary reprieve on Wednesday, fears of a trade war between the two largest economies in the world persist, fueling uncertainty and hampering dealmaking and capital markets activity, while lower consumer confidence could curb spending and loan demand

The 10% blanket duty on almost all U.S. imports, including separate duties on autos, steel and aluminum, will remain in effect

The KBW Bank Index .BKX also extended losses, now down 12.6% since Trump's tariff announcement last week

Big banks begin reporting quarterly results on Friday