In the past couple of days several articles have been published that are portraying the same underlying message: Wall Street icons likely to bleed red ink. In the past couple of weeks we kept hearing from the press about Goldman's terrible quarter and how Morgan Stanley widens Goldman Sachs loss view. Just these past 2 weeks we also heard how Morgan Stanley is also likely to post a loss, JPMorgan Chase having a 'Terrible' Quarter and Bank of America (BAC) selling its China Construction Bank shares to raise cash. From looking at the market is seems these news didn't resonate with one another, but today Implied volatility rose in JP Morgan Chase (JPM), Goldman Sachs (GS), and Morgan Stanley (MS) indicating people are realizing this is a sector wide issue. Because of the alarming earnings preview and lack of information indicating this is an event isolated to just this quarter the sector is likely to remain on a bearish mode for some time as earnings take another hit. Investors should be extremely careful when investing in the sector as losses are likely to widen again and volatility to increase.