The largest ETF tracking the financial sector was in the red in Friday’s premarket following quarterly results from banking bellwethers JP Morgan (NYSE: JPM) and Wells Fargo (NYSE: WFC).

Financial Select Sector SPDR (NYSEArca: XLF) slipped nearly 1% before the opening bell. Wells Fargo and JP Morgan are the top two holdings in the ETF with each stock accounting for more than 9% of the portfolio.

The financial sector is outperforming the market this year on improving economic data and banks’ plans to return capital to shareholders through dividend hikes and share buybacks.

JP Morgan, the largest bank in the U.S., reported first-quarter profit of $5.4 billion, topping analyst expectations. Separately, Wells Fargo announced earnings of 75 cents a share, better than Wall Street forecasts.

However, shares of JP Morgan and Wells Fargo were down about 1% and 2%, respectively, in Friday’s premarket trading.

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