On July 16, Direxion Daily South Korea Bull 3X Shares (KORU) declined 8.22% in pre-market trading, trading at $19.99/share, with turnover of $15.85 million.

On the news front, the Bank of Korea announced a 25-basis-point rate hike to 2.75%, its first increase since January 2023, with the decision unanimously approved. The move was driven by persistent inflation pressures, with June CPI reaching 3.2%, a weakening Korean won, and 75 consecutive weeks of rising housing prices. The central bank governor explicitly signaled further rate hikes ahead.

Following the decision, the KOSPI Index plunged approximately 7%, triggering circuit breakers for the eighth time this year. Heavyweight stocks SK Hynix and Samsung Electronics fell 10% and 7% respectively. Adding to the selling pressure, the Korea Financial Investment Association proposed raising the minimum margin threshold for single-stock leveraged ETFs from 10 million won to 50 million won, intensifying outflows from leveraged products. Overnight weakness in U.S.-listed memory stocks further compounded the downturn.

The fund invests at least 80% of its net assets in financial instruments providing daily 3x leveraged exposure to the MSCI Korea 25/50 Index, covering approximately 85% of the free float-adjusted market capitalization of South Korean issuers.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)