The MicroSectors Gold Miners 3x Leveraged ETN (GDXU) surged 5.23% during pre-market trading on Wednesday, significantly outperforming the broader market.

The sharp rise in the leveraged gold miners note followed a strong rebound in gold prices, which recovered after a more than 3% decline over the previous two sessions. The precious metals rally coincided with a broad market upswing triggered by the announcement of a major new trade initiative between the United States and Japan.

Several factors supported gold's recovery, including heightened geopolitical tensions, persistent central bank purchasing demand, and expectations that the Federal Reserve may cut interest rates later this year. Financial institutions including BNP Paribas, Deutsche Bank, and Goldman Sachs predict gold will resume its upward trend, citing these structural supports alongside concerns over the Fed's independence and capital outflows from traditional sovereign bonds and currencies.