• Tatton Asset Management sees stocks becoming cheaper as earnings growth outpaces share prices, challenging claims of an AI valuation bubble.
• Meta's AI investment plans renewed concerns over unsustainable, debt-fueled growth despite strong quarterly earnings.
• Major Silicon Valley companies retain credit spreads significantly below the S&P 500 average, limiting evidence of broader credit stress.
• Third-quarter US earnings growth is on track to exceed the second quarter, supporting equities despite weak investor sentiment.
• A sentiment recovery depends on sustained earnings growth, with further declines in bond yields potentially providing additional support.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Tatton Asset Management plc published the original content used to generate this news brief on October 23, 2026, and is solely responsible for the information contained therein.