 Global Director of Industry and Equity Analyst at CFRA. And Melissa Armo, founder, owner of the Stock Swoosh, both joining me now. Melissa, I'll start with you. Do you like the financials? Because the group's been doing well, betting on the higher rate environment. Are there certain names that you like more than others? And why? Well, I wouldn't go long hearing, even though the banks are rallying today, the spy is rallying today as well. JPM's just off the highs. Goldman Sachs is just off the highs. But I would wait until after the earnings. All of these report earnings in about three weeks. The second week of April, I think JPM is April 14th and all those banks usually report that same week together. They start out second quarter earnings season. I would wait until after they report to see how they gap. Do they gap up? Do they make new highs or do they fall? The banks have had a nice rally. I'm not so sure they can continue it. Don't forget, the eviction moratorium ends in just a few days. And unless the Biden administration decides to extend that, you can have a slew of loans going into foreclosure. And I think that you're gonna see that reflected in the bank then. Right. Ken, let me ask you over at CFRA, you'll tell us where the buys are. We're strong buys even. I was talking with the trader on Wall Street, just saying how he thinks the banks are going to do so well in this quarter because of the trading frenzy that we have seen. And new folks investing, so many new accounts as everybody gets in there and they're trading and trading in, that it's gonna bode very well for banks coupled with the rising rate environment. You tell me. Yeah, that's a great way to set the stage of what can be new to drive these stocks higher. The banks in the financial sector, outside of energy has been the best performing sector on the reflation trade over the last three months. We're there. Bank stocks are up 25, 30%. Those who can participate in the capital markets have greater chance of an earnings fee and delivering a better outlook ahead. Capital markets, of course, IPO proceed $100 billion of IPOs and SPACs done. Equity trading everywhere in the capital markets remain strong and we have conviction for all of 2021. The rub, it would be for those most banks still at risk for the rising rate scenario. And even with rates moving a little bit, net interest income year over year will be down. It will be negative and loan activity coming from small business or even consumers probably will begin to get a little bit better until the second half of this year. So that means capital markets is the way to ride the wave. Goldman Sachs, we have a strong buy. They're also gaining wallet share from their direct competitors. And we think their new strategy to expand it to the mass market gives them added source for growth. So we like Goldman. Melissa, oh, sorry. Okay, I wanna hear what you like. That's how I started the question. And so I wanna hear the answer in just a moment. Melissa, give me your thoughts as you hear what Ken's saying and I start to think of just not only banks but I think of credit cards and I think of FinTech and you wanna wait to see these earnings. What would you maybe buy into once you see how it's doing? What are you really waiting on? Well, JPM and Goldman are in uptrends. Wells Fargo's in a downtrend. So I don't think no matter what Wells Fargo does on the earnings, it's a buy. But if they continue higher, great. To be honest with you, I'm surprised that the rally that the banks have had they've helped to drive the S&P up to new highs. But I'm surprised if it's gonna last. We just had unemployment claims again today. It was less than expected but still an astronomical amount of people are out of work. A $1,400 stimulus check is $1,400. That's not gonna last. I mean, there's still a lot of people out of work. And I think at some point the market which has not happened to date is going to see what's really happening in the economy that we're not full blown open yet. And many people are still out of work. At some point that's gonna come to a whole degree. And it's gonna come to a fact where people are not paying their bills or not paying their credit card payments. They're not paying the mortgages. And don't forget the landlords. The landlords that have had no income coming in on some of the property that are going on to 13, 14 months. How many times can these banks review these loans and redo them and repackage them and extend them out? I think they're gonna call these and they're gonna call these loans, that's gonna be a problem. There's a lot of concerns about bankruptcy and default and things like that. Ken, tell me, I know you had Goldman Sachs, all-state black rock. These are the buys, strong buys, where are these? Well, we have sales too, but by the way though, these banks over reserve by $30 billion last year. So the risk of credit loan losses is kind of rear mirror. We're gonna see continued reserve reverse, which boost earnings. Anecdotally, that's great color about those who are suffering in a K-shaped economy. But banks really don't have the credit risk they had in the financial crisis. We have a sell on Wells Fargo, exactly for those reasons though, that we see negative net interest income and the velocity of lending will still be low for Wells Fargo has an asset freeze. We put it as a sell this week. Yeah, I think you're both making great points and those reserves, some have over reserved and some haven't. And I think I really am looking forward to earning season and hearing what they say on all these calls as well. Great conversation. Thank you both, Melissa Armo and Ken Leon. Thank you.