My 2c on Financials: US Financials Sector Specialist Commentary Banks • Insurance • Diversified Financials

研报英文原文证据摘录

My 2c on Financials: US Financials Sector Specialist Commentary Banks • Insurance • Diversified Financials

Rob O'Dwyer - Specialist Sales - US Financials AC North America Specialist Sales J P M O R G A Nrob.odwyer@jpmorgan.com

J.P. Morgan Securities LLC 07 July 2026

My 2c on Financials

Rob O’Dwyer

+1 2126222673

rob.odwyer@jpmorgan.com

Key Highlights

• Rotation → bid for regional banks?

• FISV debit network

• MKTX volumes

Morning – we hosted a group of senior financials investors for dinner last night and one thing stood out: conviction

remains surprisingly low around the market-cap heavyweights that dominate both long and short books across banks,

exchanges, asset managers and payments. The energy in the room was much more focused on the "edges" of coverage –

consumer finance, reinsurance, brokers, specialty finance and wealth management. The common thread was an active search for

exposures less tethered to the AI trade. AI continues to dictate flows at the factor level, and there was a clear desire to find parts

of Financials where investors can put money to work while reducing that correlation risk ahead of a busy stretch of earnings.

Macro this morning is modestly risk-off. Tech and semis remain under pressure as global de-risking continues, while higher oil

(following reports of an Iranian attack on a commercial vessel in the Strait of Hormuz), rates offered and a stronger USD are

adding to the cautious tone. Despite the broader tech pressure, Mag7 remains resilient with NVDA and TSLA leading pre-market.

Rotation remains a theme, with small caps outperforming again yesterday, I remain impressed by the correlation between RTY

and Regional Banks (see Chart of the Day below), so to the extent that that bid for small caps remains, regionals are well