Below we highlight the current year-over-year growth (or decline) in earnings for the S&P 500 and its ten sectors in the third quarter. As shown, the Energy sector has seen the best growth at 55.9%, which is 10.6 points better than the expected 45.3% growth at the start of the reporting period. Surprisingly, Consumer Discretionary has had the second best growth at 20.4%, while it was expected to see earnings decline by 10% at the start of October. Industrials, Utilities, Telecom and Financials have all seen earnings decline in Q3 '08 vs. Q3 '07. Overall, the S&P 500 has seen earnings decline by 10.5% in Q3 '08, which is about twice as bad as was expected prior to earnings season. This decline is all due to the Financial sector, however, and every other sector is faring better than the index as a whole.