# HORAN Capital Advisors Q3 2026 Market Outlook

> Magnificent 7 stocks drive S&P 500 gains as Fed raises rates.
- Title: HORAN Capital Advisors Q3 2026 Market Outlook · Seekingalpha
- Summary: Magnificent 7 stocks drive S&P 500 gains as Fed raises rates. Microsoft, NVIDIA, Apple and Meta Platforms contributed 300 points to S&P 500 in Q3 2026, with…
- Keywords: magnificent 7, s&p 500, fed funds rate, tech stocks, q3 2026, market performance, investor letter, hhoran capital advisors, money, business, HORAN, Capital
- Source: Seekingalpha — https://seekingalpha.com/article/4953360-horan-capital-advisors-fall-2026-quarterly-investor-letter
- Author: David I. Templeton, CFA
- Published: 2026-10-11T16:47:00+00:00
- Read time: 1 min
- Topics: magnificent 7, s&p 500, fed funds rate, tech stocks, q3 2026, market performance, investor letter, hhoran capital advisors, money, business
## The Stylus is Stuck
The S&P 500's Q3 2026 return was driven by Microsoft, NVIDIA, Apple and Meta Platforms alone.

> There is a good reason why the rearview mirror is smaller than the windshield.
## Magnificent 7 Dominance
Microsoft, NVIDIA, Apple and Meta Platforms contributed 300 points to S&P 500 in Q3 2026.
## Market Composition
For every $1 in S&P 500, 41¢ went to top 10 companies, 35¢ to Mag 7, and 19¢ to semiconductors.
## Tech Sector Leadership
The technology sector contributed 2.72 percentage points to S&P 500's 2.30% Q3 2026 return.
## Market Correction
22% of S&P 500 stocks are down more than 20% from high, 65% down more than 10% from high.
## Election Year Impact
The market is entering the most bullish period in the four-year presidential cycle.
## Economic Resilience
U.S. GDP grew 2.2% in Q2, with consumer spending up 3.8% and business investment up 9%.
## Fed Rate Hike
The Fed increased the Fed Funds target range by 0.25% to 3.75%, 4.00% in September 2026.
## Inflation Concerns
The Consumer Price Index stood at 3.35% with CPI ex food and energy at 2.45% in Q3 2026.
## Market Outlook
S&P 500 earnings growth is expected to be up 30.6% for Q3 2026 with 35.8% for full year.
## Data Center Growth
Technology companies are expanding data center capacity despite community pushback.
## Global Markets
Emerging markets outperformed U.S. and developed international regions in Q3 2026.
## Market Correction
The S&P 500 Index is less than two percentage points from its high with significant corrections.
## What's Next
The market is expected to remain resilient with strong earnings growth and potential rate cuts.
## Key takeaway

Microsoft, NVIDIA, Apple and Meta Platforms contributed 300 points to S&P 500 in Q3 2026, with the Fed increasing rates to 3.75%-4.00%.