Equities derated into earnings upward revisions is a good setup, but theme of divergence will continue.

Good news: AI investment spend is durable, accelerating, independent of Iran war, will lift earnings. Bad news: inflation and consumer pull-through uncertain; oil at $4-$5 would shift consumer behavior.

Financials hurt by private credit, war, credit card noise. Likes big banks due to loan growth, steep yield curve, precipice of capital markets supercycle.

Also likes stock exchanges (profit from volatility) and selective wealth management.

Clients excited; narrative shifting from staying private longer; public markets needed to fund AI transition.

Interested in impact on index composition.

Market looking to future resolution on oil; elevated oil will start to feed through in Q2-Q4 this year.

Divergence will hit companies differently; use entry points to identify beneficiaries (e.g., LNG, Korea shipping).