JP Morgan reiterates Overweight on Tencent Holdings (00700.HK) and keeps its HKD690 target. The bank says Tencent’s durable user engagement, improving game and advertising monetisation, strong margins and balance sheet, and AI monetisation optionality make it the highest-quality compounding growth play in China’s internet sector. JP Morgan expects AI-related depreciation to begin in H2, and has cut its FY26 Non-IFRS EPS forecast by 5% to 28.47 yuan while raising FY26 capex to 200 bln yuan; the f

SK Hynix fell nearly 10% on its second day of US trading. Underlying volatility in Korea has been acute: after Korean regulators warned of a chip-sector overheat, the KOSPI plunged almost 10% on June 23; three days later (June 26) memory-demand worries triggered an index circuit breaker; on July 13 KOSPI dropped about 9% amid Iran-related risk, again tripping a market-wide circuit breaker. These moves have shown early global transmission—following the June 23 selloff the Nasdaq fell more than 2%, and it closed down 1.55% after the July 13 KOSPI decline. SK Hynix’s US listing, reportedly ~7x oversubscribed, effectively embeds one of Korea’s most leveraged, volatility-prone stocks into US investor portfolios. Market mechanics cited in the note: amplified retail leverage in Korea magnifies chip-sector swings, weighing on global AI demand expectations, while repricing of US Treasuries tightens liquidity—together increasing potential for broader spillovers. This is not a forecast of imminent systemic crisis: semiconductor demand supporting Samsung and SK Hynix remains real and growing, but KOSPI concentration and leverage-driven volatility raise the risk that shocks in Korea propagate more widely than expected.

Fed Governor Waller said "institutional change" means the existing system should not be put in charge of running one of the working groups, and that the Fed will learn a great deal from those working groups.