Tariffs are creating significant volatility that threatens to dampen second-quarter advisory and underwriting revenues for many of Europe’s largest investment banks. Analysts predict that uncertainty surrounding U.S. tariffs, influential market conditions, and economic growth prospects will hamper deal-making and initial public offering activity in 2025. The ongoing tariff dispute raises serious concerns among investors and financial advisors. They are bracing for weaker market performance as companies navigate through this challenging landscape. Without clear resolution, investment banks may struggle to maintain their advisory services effectively, leading to declining revenues this quarter and beyond. Market watchers are eager to see how institutions adapt in response to these evolving pressures.