If the Bank of America news doesn’t drag down stocks, it’s a great indication of the fundamental strength of the rally, muses Fast Money trader Joe Terranova. And I’d play it by owning JPMorgan (JPM) just because it’s a best of breed play.

Be careful of Bank of America, counsels Mike Gurka of Empower Global Funds. News likes this involving big government is like standing in front of a train. It can flatten you. All that matters is that Bank of America is improving its balance sheet, says Joe Terranova. Personally, I see every reason to be long.

If you believe the tape is going higher, Goldman is a buy, counsels Guy Adami.

I think the reason the financials did well on Tuesday was strength in the commercial real estate sector, explains Karen Finerman. There had been fear that more pain lay ahead for commercial real estate, but if that’s not the case then the asset managers stand to gain enormously. Personally, I’m way less bearish on commercial real estate than I used to be, Finerman adds. I had been short Forest City (FCE.B) but I covered when they were able to raise capital. I can’t be short when these REITs are able to raise so much money.

Guy Adami suggests long Raymond James (RJF) because it's a strong asset manager.

Guy Adami recommends long The Hartford (HIG) which he thinks could quickly become profitable.

Pete Najarian says MetLife (MET) is a buy if the stock breaks above $35.

Going forward, I think Morgan Stanley is better positioned to perform in businesses that are more longer-term annuities, says Tim Seymour.