This week in the podcast we take alook at what we learned in the second full week of 2Q21 reporting season. Threebig things you need to know: First, the overall tone from management teamsimproved in week 2 relative to week 1, with a focus on the strong demand andcash deployment backdrop, increased confidence on the 2nd half, and COVIDconcerns toned down. Second, while we generally sensed a better tone regardingthe ability of companies to manage through margin pressures, we also came awaywith the impression that management teams are inclined to see generalinflationary and supply chain pressures as enduring for a bit longer. Third,while upward earnings revisions are still happening, we continue to see asoftening in earnings sentiment driven by deterioration in Financials, ConsumerStaples, Health Care, and Utilities specifically and Value, Defensives, andCyclicals more broadly.