Market breadth is overrated. @sonusvarghese and I explain why on Facts vs Feelings Ep. 208 🎙️ 💻 10 of 11 sectors finished September in the red, but tech gained ~5%. Tech and tech-adjacent names are roughly half the S&P 500, and a breakout in the sector could lift the whole index into earnings season 🧠 Strong memory chip earnings, surging South Korean chip exports, and rising AI capex estimates all point the same way: profit growth is overpowering the rise in yields 📈 Q4 averages a 4.2% gain and is higher more than 80% of the time. A negative Q1 followed by a 10%+ Q2 has never produced a down Q4 🔥 Even after revisions, core PCE is running ~3% YoY and ISM prices indexes sit at multi-year highs. This is an inflationary growth environment 🏦 October hike odds fell from ~70% to ~20% after softer PCE, light payrolls, and dovish Fed comments. 💼 Headline payrolls were just 29K, but prime-age employment is 80.7%, layoffs are low, and Challenger cuts hit their lowest September since 2022 Sentiment is still in fear territory near all-time highs. Full episode 👇