On October 1, Direxion Daily Semiconductors Bull 3x Shares rose 5.26% overnight, trading at $155.19/share, with turnover of $419 million.
On the news front, global memory leader Micron Technology reported blockbuster quarterly results that far exceeded expectations, with revenue surging 379% year-over-year and gross margin reaching 87%. The company explicitly stated that memory supply-demand conditions will tighten further over the next two years, formally confirming a storage chip pricing super cycle. Separately, UBS projected global semiconductor revenue to reach $1.63 trillion, representing 118% year-over-year growth, with the upcycle expected to persist through at least 2028. AI computing chips, advanced packaging, and domestic equipment and materials substitution remain the core investment themes driving the sector.
The ETF had previously surged over 22% in a single week before experiencing a brief pullback exceeding 5% on September 28 due to profit-taking and crowded positioning concerns. The latest Micron earnings catalyst reignited bullish momentum, with the 3x leverage mechanism amplifying the overnight gain.
The fund invests at least 80% of its net assets in financial instruments that, in combination, provide 3X daily leveraged exposure to an index tracking the thirty largest U.S. listed semiconductor companies. The fund is non-diversified.
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