United states of america banking giants are expected to announce poorer fourth-quarter profits this week.

The four largest banks in the United States, Bank of America Corp., JPMorgan Chase & Co., Wells Fargo & Co., and Citigroup Inc., will each release their quarterly financial results on Friday.

the six banks are also likely to post a 17% decline in net revenue in the 4th quarter compared to the previous year.

United States Recession Forecast 2023

The actions follow a dramatic decline in activity for Wall Street dealmakers managing mergers, acquisitions, and public offerings in 2022 as increasing interest rates stirred up the markets.

The senior vice president of Moody’s Investors Services financial institutions group, “we’re leaving a time of very good credit rating.”

The KBW index of bank index, on a broader scale, is up almost 4%. So this month after falling about 28% in the previous year.

“we observe more robust earnings potential over the cycle,” she noted in a note. “We cannot ignore the fundamental ability.”