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Stocks plunged Thursday as big bank earnings showed disappointing results and as traders assessed the possibility of even tighter U.S. monetary policy from the Federal Reserve as recessionary fears lingered.

The Dow Jones Industrial Average fell 0.46%, or 142.62 points, to 30,630.17, while the S&P 500 shed 0.3% to 3,790.38. The Nasdaq Composite surged 0.03% higher to finish at 11,251.19.

Stocks closed in negative territory but well off their lows. At one point, the Dow dipped as much as 628 points while the Nasdaq and S&P 500 plummeted more than 2% each. Equities were on track to close out the week in negative territory.

“If the banks are a barometer of the whole economy as well as what we’re likely to get from other earnings reports going forward, it’s going to be an ugly quarter,” said Sam Stovall, chief investment strategist at CFRA.

Earnings results from major banks on Thursday offered further clues into the health of the U.S. economy fears of a recession loom.

JPMorgan Chase shares fell 3.5% after the bank added to reserves for bad loans and halted its share buybacks. As profits decreased, CEO Jamie Dimon warned that the economy could take a hit from surging inflation, geopolitical tensions and dwindling consumer confidence “sometime down the road.”

Continuing the trend, Morgan Stanley shares slipped about 0.4% on the back of a sharp decline in investment banking revenue, while Goldman Sachs, which is set to report earnings Monday, fell nearly 3%. Earnings from big banks continue on Friday with results from Wells Fargo and Citigroup, which dropped 0.8% and about 3%, respectively, during Thursday’s session.

The results from bank stocks raised more fear that earnings estimates have perhaps increased too much in recent months. How much those numbers plunge depends on the state of the economy and how hard a recession hits when and if it strikes, said Bob Doll, chief investment officer at Crossmark Global Investments.

“The market is finally concerned about the fact that estimates, having gone up almost nonstop during the first half of this year, are going to be under some pressure, and of course today’s culprit is JPMorgan,” he said. “How can corporate America, in the wake of a slowing economy and cost pressures have the earnings that have been expected by the consensus. Those numbers have to come down.”

The Dow’s losses on Thursday came mainly from JPMorgan, Goldman Sachs and American Express declines, while energy, materials, and financials were among the S&P 500′s worst-performing sectors. Mosaic shares shed 5.7%, while energy companies Halliburton, Diamondback Energy and EOG Resources plummeted more than 3% each.