suntrust is tomorrow and keycorp is on thursday. >> chris, it's karen. what do you think about another problem area, specifically california, wells fargo? what are you looking for for them and what will be the problem area for them? >> wells fargo is knee-deep into the consumer issues as everyone knows. i don't think that's new news. they'll have the revenue growth to offset the higher losses. we think wells will clearly have a good quarter from the mortgage side of the business and that might not be sustainable into the third quarter and we think it can beat on the margin and the income. they do have investment banking and trading opposition. so we think there are more levers on the revenue side for wells fargo to offset the higher cost of credit. >> from the other regional banks that don't have the capital markets or don't have the mortgage pipelines, they don't have the revenue to offset it. we think it is positioned fairly decently. of course, when you look at the

keycorp they had some credit issues. you see all these cautious comments from the ceo of delta talking about the fact what a lousy year it's been, 2009 is not going to be a good year. you look at whirlpool, they were making cautious comments. and yet look, the market is basically sideways here. it's the resiliency of the market. it's the fact if you get some pieces of good news the market pops. but if you get generally bad news or kind of disappointing commentary the comment doesn't do much. this is not lost on anybody in the trading community. the risk is on the up side for the market and not on the down side. if you listened today to our guests, maria's guests and my guests, you'll hear them keep saying right now we're more interested in trying to find ways to get more invested in selected areas than to get out or to say that the market is topping out and we want out. that doesn't mean that the bear position isn't over. there are plenty of bears who think the market will move down, notably in september and october, as

keycorp, which started negative, even into positive. wells fargo's had a lot of trouble all throughout the day but it was down fractionally. existing home sales out tomorrow but nvr a relatively small home building company announced amazing numbers. revenues, margins, writedowns of land all improved. and the absorption rate for new orders in their communities also was up 2% year over year. growth in orders, when was the last time a home builder reported that? look at'll home builders here today, they all moved up. in fact, they have been outperforming the market in the last couple weeks. all the big home building names up 6%, 7%, 8% here today. there's your numbers. let's talk about whirlpool here. caution here. they beat on the bottom line but talked about reduced demand in key markets. similar situation with the airlines here today. delta, richard anderson, the ceo over there, reported earnings a tad better than expected, but he said the airline industry was facing its toughest environment since deregulation. and we don't see any mean

have a keycorp, sell it. maybe a pullback, i think we will get a late summer rally. doesn't happen, this fall, market's going up. >> all right. bill, what sectors or stocks you looking senate. >> i'm a big believer a recovery has begun. i like anything you can eat, smoke or drink, that category will be great profits. >> discretionary? doesn't that count as discretionary or escape astaple? >> both. buy both.. you have tremendous und undervaluation. stocks are 20 to 30% under valued. and it's like a cockroach, it won't die, back in the game. >> there you go. we won't see any ad campaigns for consumer brands but i'm with you. >> peter, i imagine this bullish talk is making you feel uncomfortable. >> i'm wondering with household debt and disposable income north of 120% how consumers will come back gang busters. >> it didn't bother them before. >> it's different world, that was a rate of 9 1/2% and credit card companies won't allow consumers to drive spending they once did. the world is recovering but mostly it's outside the u.s. the u.s. will have sluggish growth with a

. >> another one was boykin versus keycorp. it was one where a woman filed suit after being denied a home loan application. she claimed she was denied the opportunity to own a home because of her race, her sex, and the fact that her prospective home was in a minority concentrated neighborhood. she didn't even have a lawyer or anyone else to interpret the procedural rules for her. she filed the suit on her own. did you have sympathy for the woman seeking a home loan from the bank? >> clearly everyone has sympathy for an individual who wants to own their own home. that's the typical dream and aspiration, i think, of most americans, and if someone is denied that chance for a reason that they believe is improper, one would recognize and understand their feelings. >> right. and, in fact, you ruled that her claim wasn't timely. rather than overlooking the procedural problems with the case, you held fast to the complicated rules that keep our system working efficiently even if it meant that claims of discrimination could not be heard.

. >> and i think bank of america, which -- if you own a huntington bank share, keycorp, i think that's the crap you've got to get rid of. and we can argue over a beer about bank of america, but i still think relatively speaking it's a bellwether and i think it's going to last. >> we've got to run. dave darst, always a pleasure. lee munson, appreciate it. and we'll continue our quality discussion. what have we got? about 45 minutes until the close here. can't look at the clock on the wall. but the dow is still clinging to a little bit of a gain. 18 points. the s&p can't turn positive. the nasdaq is too close to call. we will continue to take a look at it. also, you know, next week is going to really get busy on the earnings front. what are those numbers going to say about the health of corporate america? probably an awful lot. we've got the scoop on earnings central. plus, housing starts. as i mentioned, huge, big month there. the second straight monthly gains. are we seeing something sustainable going on here, or is this just sort of a wiggle along the bottom? and after the bell we've

wells fargo sow it, keycorp saw it, regions financial saw it anr it weighed on them.nc, a lot of regionals are weak here. finally, i do want to note, i want to talk about it the next hour, home building stocks have been acting much, much better in the last couple of weeks and have been moving better in the overall mafrkts. we're at three-month highs on a lot of the big home building names. i'll talk more in the next hour about what that means. tradertalk.cnbc.com. are we going to make it 11 days at the nasdaq? right now we are. >> yeah, bob, we turned around, up ten points. that's good for half a percent. ten straight up days. we're working on our 11th here. there's optimism around the results from apple after the closing bell. stocks up 4%. profits up 15%. huge demand remains for the iphone and macs. apple is having trouble meeting demand. you can see the turn around in the overall market from yahoo! even though the stock is down 0.10 of a percent. it's come back as well. weak online ad sales still remain a problem even though cost cutting helped yahoo! beat expectat

it was called boykin versus keycorp. it was a case in which an african-american woman filed suit after being denied a home equity loan, even after her loan application was conditionally approved based on her credit report. she claimed that she was denied the opportunity to own a home because of her race, her sex and the fact her home was in a minority concentrated neighborhood. she didn't even have a lawyer or anyone else to interpret the procedural rules for her. she filed the suit on her own. did you have sympathy for the woman seeking a home loan from the bank? >> clearly everyone has sympathy for an individual who wants to own their own home. that's the typical dream and aspiration, i think, of most americans. and if someone is denied that chance for reason they believe is improper, one would recognize and understand their feelings. >> right. and, in fact, you ruled that her claim wasn't timely. rather than overlooking the procedural problems with the case, you hold fast to the complicated rules that keep our system