QQQ down 1.37% and S&P down 0.52% Monday is the market doing a pre-midterm de-risk, not a full tech unwind. With all 435 House seats and 35 Senate seats contested, this election sets the path for taxes, AI data-center permits, tech regulation and fiscal spending, so volatility makes sense. Bulls are right that a divided Congress usually means no major policy shock, which is actually bullish for big tech because it limits regulation, but bears are also right that a contested or slow count could spike VIX and hit AI capex names hardest. I don't see reason to panic hedge everything, but trimming high-beta tech and rotating to S&P defensives or short-term T-bills into the count is prudent. For me, the first signal of risk appetite will be QQQ earnings breadth -- if earnings hold, dip buyers will come back fast.
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