Sales and trading revenues at two of the biggest US banks, Bank of America and Citigroup, dived in the second quarter, dragging down investment banking profits and fuelling fears that banks’ strong start to the year could be derailed by deteriorating market conditions.

A day after JP Morgan sounded a warning bell on Wall Street with a 44% drop in net profits at its investment bank quarter on quarter, its two peers today posted similar steep profit drops at their investment banking units.