Direxion Daily Semiconductors Bull 3x Shares (SOXL) surged 11.08% intraday on Thursday, significantly outperforming the broader semiconductor sector. The leveraged ETF, which provides triple exposure to semiconductor stocks, amplified gains across the sector following TSMC's optimistic capital expenditure forecast and record quarterly profit.
TSMC, the world's leading advanced chipmaker, announced a 2026 capex range of $52 billion to $56 billion, signaling robust demand for semiconductor equipment. This was complemented by its Q4 profit jumping 35% to record levels, beating market expectations. The news triggered a broad-based rally in chip stocks, with ASML, Applied Materials, and Lam Research also posting notable gains.
SOXL's leveraged structure magnified these sector tailwinds, attracting traders betting on sustained semiconductor growth. Analysts view TSMC's capex plan as a bullish indicator for the entire supply chain, further boosting confidence in SOXL's momentum.
Comments