With interest rates as high as they are and the market at very high valuation, the S and PS trading at some 21 times earnings which is is quite high and. Basically with when we when we talk about having the interest rates higher for longer that takes away the chance for lower rates to expand that multiple. So it really does have to come from earnings and so the market will be watching and investors will be watching earnings here. Come in in the next several weeks and obviously, you know we’re off to a rough start here. JP Morgan, some of the other banks actually reported some good numbers, but their guidance and outlook is what soured investors. Yeah. And yet, Don, what one might argue a ball would argue, yeah, if you look beyond the Magnificent 7, we’re not trading at 21 times forward. We’re actually trading closer to historical averages. But maybe that’s just not cheap enough still for the market to be excited about in line earnings. Maybe they need a little bit more from somewhere. Well and that’s a good point and you know our view is that the Magnificent 7, the top ten stocks however you look at that have have had their run. And so even if they are to plane out and earnings come through for the other 400 and 94193 stocks, TSMP and small and mid cap, we could have a continued rally or or at least upward performance in the market. But that that comes down to making earnings even more of an important focal point here. Don, good morning to you. I mean, I have Nims perhaps peaked at, at where we’re seeing, it’s just a note there from what I’m seeing just out of the FT, actually last week just noting that JP Morgan Chase, Bank of America, Wells Fargo and Citigroup collectively made $253 billion in net interest income then for the whole of 2023, that’s a 19% uptick then from 2022’s total. But people are moving money out of those low interest checking and savings accounts. Have NIMS peaked? Yeah, that’s a good point. Interest rates you know have helped the financial sector over the last quarter or so and that’s why you saw such a rally there. But the question now is the net interest margins which we need to have that front end of the yield curve come down in order for those banks to improve their, their names and and again with the news we got out of here, got out from inflation so far the Fed. More of the Fed generals, I would say, than the. Powell’s initial speech. Higher for longer and you know, still an inverted curve.
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