Updates

** Shares of major Wall Street banks fall as tariff impact continues to spark fear over interest rate volatility and recession concerns

** JPMorgan Chase JPM.N, Goldman Sachs GS.N, Morgan Stanley MS.N, Bank of America BAC.N, Citigroup C.N and Wells Fargo WFC.N are down; Morgan Stanley leads the declines with 5.6% fall

** Equities market has remained volatile against the backdrop of tariff uncertainty, sparking concerns of an impending economic recession

** Key driver behind banks' stocks sliding is short-term interest rate re-inversion due to inflation concerns and tariff impacts. Consumer warning signs from major retailers like Walmart and Target are also contributing to economic uncertainty - KBW analysts said in a note

** A Reuters poll found 91% of economists view the odds of a downturn to have increased under US President Donald Trump's rapidly shifting trade policies

** On Friday, Fed Chair Jerome Powell said that the economy was on a strong footing, but he also underscored the need for caution on lowering borrowing costs

** S&P 500 Banks .SPXBK index is down 4%

(Reporting by Jaiveer Singh Shekhawat in Bengaluru)

((JaiveerSingh.Shekhawat@thomsonreuters.com;))