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I am using a 2019 iMac with 27" display and the lastest operating system; all updates are current. I also am using the latest Photoshop that also has the latest updates. The image reassembles into its actual form and everything seems to work well once the display size - not the image size - is reduced and then increased again. Have not been able to figure out how to fix the original glich.
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Go to Preferences > Technology Previews... and enable "Older GPU mode (pre 2016)" - Restart Photoshop.
https://helpx.adobe.com/photoshop/using/technology-previews.html
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Oh forgot to add:
First, try disabling GPU in the Photoshop preferences (Performance tab). Also try the Preferences > Technology Previews... and enable "Older GPU mode (pre 2016)" - Restart Photoshop. Any better?
If turning OFF GPU works, it's a GPU bug and you need to contact the manufacturer or find out if there's an updated driver for it. This is why disabling GPU is an option as more and more functionality moves to the GPU in newer versions of many Adobe products.
Also see:
https://helpx.adobe.com/photoshop/kb/photoshop-cc-gpu-card-faq.html
https://helpx.adobe.com/photoshop/kb/acr-gpu-faq.html
If not, recalibrate and build a new ICC display profile, the old one might be corrupted. If you are using software/hardware for this task, be sure the software is set to build a matrix not LUT profile, Version 2 not Version 4 profile.
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Thanks. Seems to have solved the problem. Now, do you have any tips on how to adjust the black level for an early 2019 iMac with a 27" screen? Photos, streams, etc., are rendered way too dark on my machine, but "normal" when displayed on another device.