Top US banks’ AFS markdowns reverse sharply in Q1
Aggregate unrealised losses jump 130% after five-quarter recovery
Aggregate unrealised losses on available-for-sale (AFS) securities at the eight largest US banks rose by $8.1 billion, or 130%, to $14.4 billion in Q1 2026, marking the largest quarterly increase since Q1 2022.
The jump reversed five consecutive quarters of improvement in the lenders’ AFS portfolios, where markdowns had narrowed to $6.3 billion at end-2025 from more than $52 billion at their peak
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