The big things you need to know:

• First, a better longer-term EPS outlook and more resilient operating margin forecasts help explain the recent outperformance of mega cap growth stocks and growth-oriented sectors
• Second, Small Caps recently saw a brief/mild outperformance pop on mounting Fed cut optimism, but we remain neutral on Small Caps given elevated valuations and below-average consensus GDP expectations.
• Third, mixed vibes to end the summer make us question whether the sentiment recovery that has powered US stocks may soon hit a speed bump.