JPM JPM Chips for Break

Joshua Meyers - Specialist Sales - US TMT AC ( North America Specialist Sales JPMORGAN J.P. Morgan Securities LLC 29 July 2026

Deleveraging Nears End? (In Korea...); GLW/CLS Analyst Callback; GLW, KLAC, NXPI, QRVO, STX, SWKS Joshua Meyers

Join Joe Cardoso and me for a group call recapping CLS & GLW results.

Last call for your best and final AAPL Bars, which I’ll send mid-morning (with those who participate):

AAPL Buyside Survey (7/30, 4:30pm, call 5pm):

3Q26 Revenue (v. $108.6b Guide; $108.85b Bloomberg): 3Q iPhone rev (v. $53.6b Bloomberg): 3Q GM (v. 47.5~48.5% Guide; 48% Bloomberg): 3Q EPS (v. $1.88 Bloomberg): 4Q Revenue Guide (v. $114.88b Bloomberg): 4Q GM Guide (v. 47.4% Bloomberg):

Above all, some key updates on de-leveraging: Korea may be done; US making progress... JPM Asia Equity/Quant Strat Head Mixo Das says the Korea ETF unwind is complete. The Korea market has undergone an intense period of de-leveraging since mid-June, with KOSPI now down almost -40% from peak. Mixo sees an attractive setup:

1) Leveraged ETF unwind is complete

2) Hedge funds are done with ~90% of de-leveraging

3) Retail leverage through margins less of a risk

4) Record foreign outflows are slowing

Joshua Meyers - Specialist Sales - US TMT AC ( North America Specialist Sales JPMORGAN JPM: Chips for Breakfast: J.P. Morgan Securities LLC Deleveraging Nears End? (In Korea...); GLW/CLS Analyst Callback; GLW, KLAC, NXPI, QRVO, STX, SWKS 29 July 2026

He is not advocating a broad return to tech, recommending other Korean sectors; but still points to being further along in the correction.

Separately, yesterday JPM Positioning Intel ran the latest positioning data (through Monday0 and found the US Semis basket down to 90th %-tile on 12m basis (from 98th, late last week) thought still 99th %-tile on 5yr. These numbers are based on L/S ratio of the basket. Semis are one of the most net sold themes over the past 20d at -1.8z (mostly longs). Those of you who spoke with me last week noted my concern that as of early last week we were only sole -0.7z, versus the 1~2z selldown that usually marks a bottom; well, we're now there. Brian Heavey in trading noted that Software is one of the most net bought at +2.6z net flows (mostly short covering), though positioning still low for Software (JP2SOF) at 13th %-tile 12m and 1st over 5yr.

Quick US market thoughts from Drew Tyler in Market Intelligence… Futures are higher, yields are higher, and USD is lower as the Fed decision comes later today. Feroli sees the Fed on hold with 2x hawkish dissents; the market is pricing a 32% chance of a hike. Overnight, Korea / Semis took another leg lower with JPM’s Mixo Das seeing the levered ETF unwind in its 9thinning (90% complete). With hyperscaler earnings today / tmrw, perhaps we finally establish a floor within the Tech trade. Futs are rallying from overnight lows with all 3 major indices in the green, with Tech flipping from laggard to leader. Semis are higher pre-mkt with Mag7 mixed. Defensives are leading Cyclicals (ex-Tech & Energy) with the Energy bid returning on news of renewed attacks in the Middle East. Elsewhere, bond yields are up 1-2bp as the curve flattens, USD is weaker, and cmdtys are bid led by Energy and Metals. The macro focus is on the Fed.

• Join our POST-EARNINGS ANALYST GROUP CALLBACKS WITH JOE CARDOSO (click to register)

• Wed 7/29 11:30am ET - CLS, GLW • Fri 7/31 10am ET - AAPL, STX • Wed 8/5 11am ET - ANET • Fri 8/14 10am ET - COHR, LITE • Fri 9/4 10am ET - OEMs

• Join Joseph Cardoso for post-EPS company calls with GLW, MOT & NSIT

• Thu 7/30 11am, GLW IR Chris Keenan. • Thu 8/6 3pm, MOT Finance Uygar Gazioglu & IR Brian Piotrowski & Victoris Hansler • Fri 8/7 11am, NSIT CEO Jack Azagury & CFO James Morgado

• On Monday, Aug 3 at 8am ET, Mio Shikanai hosts a Kioxia 1Q Results Debrief. Please register here. • A reminder that we host Delta Electronics IR Rodney Liu at 9:30pm ET on August 6. You can request a seat here.