US bank shares face longest weekly losing streak since 2008

US bank shares were set for a sixth straight weekly loss, their longest such run since the 2008 financial crisis.

The 24-member KBW Bank Index fell about 1.3% during the week and was roughly 13% below its August record.

Mixed third-quarter earnings failed to reassure investors: strength in equities trading was offset by disappointing fixed-income trading.

Bank stocks have also faced concern about persistent inflation, interest rates staying high and artificial intelligence disrupting financial services.

AI investment costs add uncertainty about banks' future revenue, while the spread of AI tools could eventually threaten the low-cost deposits that support bank profits.

Weak bank shares matter because lenders provide credit that supports economic growth, and slower growth could increase loan losses.

The sources give no specific next step for the sector.