In the beginning of act 2 of Shakespeare's Macbeth, how do Banquo and Macbeth regard each other?

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At the beginning of Act Two of Shakespeare's Macbeth, Macbeth and Banquo have become very different people than who they were at the play's start.

It is after the banquet to honor Duncan at Inverness (Macbeth's home), and Banquo and Macbeth meet by chance. Banquo mentions that he has...

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At the beginning of Act Two of Shakespeare's Macbeth, Macbeth and Banquo have become very different people than who they were at the play's start.

It is after the banquet to honor Duncan at Inverness (Macbeth's home), and Banquo and Macbeth meet by chance. Banquo mentions that he has dreamt of the witches, and comments that some of what the witches have said has come true for Macbeth. (This will be a concern to Macbeth because Banquo was the only one with him to hear the predictions, especially the one about Macbeth being king...this would make the honorable Banquo suspicious if Duncan were to die at Macbeth's castle.)

Macbeth lies and says he doesn't think about the predictions. However, he asks Banquo if they could discuss the situation again in the near future. Banquo agrees to do so, whenever it is convenient to Macbeth. (This is clearly just casual discussion.)

With some foreshadowing for the audience, Macbeth approaches Banquo to see how far he can trust his friend. Macbeth says that if Banquo will have his back (support him) when the time is right, Macbeth will make it worth his while (reward him).

Banquo, unlike Macbeth, cannot be swayed from his honor and duty to king and his own sense of moral character. He responds:

So I lose none/ In seeking to augment it, but still keep / My bosom franchised and allegiance clear, / I shall be counselled.

In other words, Banquo is telling Macbeth that as long as he does not need to compromise his sense of right and wrong, and as long as he can serve his king loyally, he will consider what Macbeth might ask of him. Basically, Banquo has told Macbeth that he will remain true to the things he holds dear and honorable.

This is, of course, important for Macbeth to know; if Duncan dies on Macbeth's watch, it will be Banquo who will challenge his friend's part in the murder, most especially because of the witches' predictions. This also shows the audience how distanced the two men have become, when they were once both honorable servants to Duncan.

So although they seem friendly enough, Macbeth is keeping his ideas of the witches' predictions tucked away, and asking to see how far he can trust Banquo. Banquo is full of praise for how graciously the Macbeths have entertained the king, but he is also no fool: he can imagine, I'm sure, that Macbeth is asking where his allegiance lies, especially with Macbeth's promise of a reward under the right circumstances. Banquo lets Macbeth know, in no uncertain terms, that he is honor-bound to support his king and will follow the dictates of his heart to do what is ethically correct. Each man knows where the other stands.

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At this point in the play, Macbeth has made his mind up to murder King Duncan, but before he does, he has to pay a visit to Banquo's bed chamber to ascertain whether or not he can trust Banquo after the murder.

As Banquo hears the foot-steps of Macbeth approaching his chambers, Banquo tells Fleance, his son, to

"Give me my sword."

This statement reveals that Banquo trusts no one, not even Macbeth. You must remember, that Banquo is a house guest of Macbeth's, and he should feel save, but his actions reveal that he does not.

After Banquo asks "Who's there?" Macbeth responds with an ironic "A friend"

At this point, Banquo recognizes that it is Macbeth, and he lowers his sword and they have a very interesting conversation. In this conversation, Banquo tells Macbeth that he dreamt of the witches, and Macbeth lies, and says that "I think not of them." Banquo's statement offers the opportunity that Macbeth needs to see if he can trust Banquo for he asks him

"Yet, when we can entreat an hour to serve,

We would spend it in some words upon that business,

If you would grant time."

Banquo responds by saying, "At your kind'st leisure."

Macbeth then tells Banquo that

"If you shall cleave to my consent, when 'tis,

It shall make honor for you.

In other words, if Banquo sticks with Macbeth, when the time comes, there will be something in it for him.

Banquo's response to Macbeth is

"So I lose none

In seeking to augment it, but still keep

My bosom franchised and allegiance clear,

I shall be counselled"

What Banquo says to Macbeth is he'll do whatever he says, as long as he can do it with a clear conscience and it has nothing to do with his allegiance to the king. Macbeth has just been given the answer to his question, and that is that he can not trust Banquo.

Thus in the beginning of Act II, it appears that Banquo doesn't trust anyone, not even Macbeth, and Macbeth most certainly cannot trust Banquo, but both men appear to respect each other, albeit with a pretentious respect.

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