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Oh hi James -- says now's the time to buy JPMorgan what is core -- war.
He is a co-founder of new -- capital welcome let's start with a broad market -- you know the -- -- -- four but there's.
Bigger -- in the Spain default but a bad jobs number came up from eighty -- day and every other time anything has happened trait people got skittish.
What is going on here we have a a shifted -- Why do you think the macro economic -- you talk about our our -- -- real.
You know Spain comes out talking about the need for maybe forty -- fifty billion and a hundred billion dollar package comes forward.
I think people are asking is that does that mean the Euro finance ministers might seem worse news ahead or they trying to -- will stop the alchemist.
Because I do think that right now I mean we're talking a lot about that the stimulus to the rescue and the belief that the central banks all over the world.
Will do what it takes -- -- -- a cliche to kick this can down the road so I think the EU just demonstrated they do have some firepower and if even look here in the US despite some weaker economic data.
The the of the the bullishness is in part due to the fact that people think that these QE3.
More quantitative easing and more stimulus is coming if it's not the mark and -- fourth and into it by anticipated that visited and what you -- you -- appears that there's -- trading volume I thought that was -- bad time for stockman.
And there's a lot of people on fixed income as they -- into treasuries because we're -- -- I thought that's a bad thing for stock.
You actually think that these two factors could be good for -- -- for certain stocks actually four and these kind of defensive plays but.
There's that there is a time where bigger is better and this is to a surge in that time we think about that in some of the -- consumer thought we also think about that in terms of the banks.
Where we do believe the -- for the JP this city the wells the BofA are essential if you do recognize that they've been recapitalize.
That that the US kind of took its pain may be four years ago.
Ahead of what a lot of other banks or a lot of other I guess -- countries are doing these stocks are in better shape or these financial institutions as you say are in better shape than their peer group -- -- -- I liked it rhymes for four in favor that but JP.
Wells Bank of America.
Plenty of investors have they kind of thought it solo now -- -- and yet still lost money.
Back you know back -- -- -- -- the show you have -- December we thought that was really the time they were although all former really getting hurt -- -- -- a little less so.
They had a great run through 2012.
And then this JPMorgan trading loss literally whacked it by about twenty plus percent and hit the others as well and we thought this now became -- re entry point.
For those that might -- -- at the first -- in other words because investors really shouldn't have not those bank stocks down in response to a two billion dollar loss at 82 trillion dollar asset company and I think that's right I think people thought there might be far more fire there.
Then there really -- it does look like it was an isolated trade it does look like it was a hedge that turned out too well clearly did wrong what's.
You know in the what's but the fact is -- hearing testimony yesterday I mean really up politic when he needed to be confident.
And I also think there are attacks trying to figure with the Volcker Rule however have not.
Protected -- the truth is there's still one uncertainty -- debate I think that bodes well for these banks because if the the senators and the congressmen themselves are debating whether the regulation has been put in place.
Isn't solved problems that don't expect a whole lot of changes and expect these organizations to operate as they currently stand -- feared that the very fact that they don't have that rule totally finished before the JPM debacle.
Was going instead make them overdo it's it's a good thing here of your core four.
Which -- -- finally have a little cash to buy one of which one -- about.
On the the world the -- that I think that -- the most actually is Wells Fargo and and -- and and our -- spent on that basis -- we like it because -- bank that acts among the -- for the most like a bank meeting -- it has the let's say it it's it's not one of those banks that he's also securities firm obviously they're -- -- comparable businesses they're -- in many businesses but wells is the -- -- play from -- -- our portfolio positions we don't get to it thank you very much James fresh.
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