Direxion Daily Semiconductors Bull 3x Shares (SOXL) is soaring 5.03% in Tuesday's trading session, riding the wave of a broader rally in semiconductor stocks. The leveraged ETF, which aims to deliver three times the daily performance of the ICE Semiconductor Index, is benefiting from strong gains across the chip sector.

Leading the semiconductor rally is Wolfspeed, with an impressive 21% jump. Other major players in the industry are also showing significant gains, with Intel up 5%, ON Semiconductor rising 3%, and industry giants AMD and Micron both advancing 2%. Even market leader Nvidia is participating in the upswing, albeit with a more modest 0.3% increase.

The positive sentiment in the semiconductor sector comes despite news of layoffs at Intel, as new CEO Lip-Bu Tan implements cost-cutting measures and organizational changes to address years of technical setbacks and declining sales. This broad-based rally suggests investors are focusing on the potential for growth and recovery in the semiconductor industry, driving the leveraged SOXL ETF to outperform the underlying sector's gains.