Bank shares declined Friday morning in a broad industry sell-off, as investors continued to fear the impact the continuing foreclosure crisis will have on future earnings.

The KBW Bank Index, a leading sector index, declined 2.44 percent Friday morning, outpacing a 0.22 percent decline in the broader S&P 500 Index.

Analysts said investors are responding to fears that added litigation costs and additional mortgage repurchases from investors will cut into banks’ future earnings.

“This is a continuation of yesterday’s concerns,” said Jefferson Harralson, Atlanta-based bank analyst with Keefe, Bruyette & Woods Inc.

But Harralson said investors’ fears don’t mirror those of the financial crisis in 2008.

“Here we’re talking about the earnings impact, that was a crisis of capital, dilution and survival, in some cases,” he said.

Banks with large mortgage businesses posted the largest price declines.

Shares of Bank of America Corp, the largest U.S. mortgage lender and servicer, declined as much as 6.5 percent to $11.78, the lowest since July 2009.

The BofA sell-off comes one day after shares of the largest U.S. bank by assets traded at their highest volume since April 14, declining 3 percent. BofA has halted foreclosures in all 50 states, pending an internal review.

JPMorgan Chase shares declined 4 percent to $37.16. On Thursday, JPMorgan Chief Executive Jamie Dimon said he expected the temporary halt in foreclosures by some banks could slow the U.S. housing market.

Shares for the two major U.S. banks who have not halted foreclosures posted more modest price declines.

Citigroup Inc shares declined 2.4 percent to $3.96 and Wells Fargo & Co shares declined 3.76 percent to $23.79.

The cost to insure bank debt through the credit default swap market also widened on Friday.

Bank of America CDS spreads have jumped 45 basis points this week to their weakest level since July 2009.

The other major U.S. banks’ CDS spreads posted similar increases.