Leveraged Storage ETFs Slide as CXMT Advances and AI Funding Fears Mount

Stock News10-14

Leveraged storage ETFs are trading lower, with the CSOP SK hynix Daily Leveraged (2x) Product (07709) falling 8.05% to HK$24 as of press time, while the CSOP Samsung Electronics Daily Leveraged (2x) Product (07747) dropped 2.71% to HK$56.04.

On the news front, ChangXin Memory Technologies (CXMT) President Dr. Cao Kanyu recently announced that the company has achieved a key breakthrough in next-generation 4F虏 memory cell architecture and plans to launch DDR5 server memory products based on this architecture before the end of 2026.

The market believes that if Chinese manufacturers can enter the high-end memory chip market previously dominated by U.S. and South Korean companies with lower costs and greater scale, the profit margins of related companies will face substantial compression.

Notably, the CEOs of Intel and Broadcom recently issued warnings that as demand for computing infrastructure continues to outpace supply, access to capital is replacing semiconductor, memory, or power shortages as the primary constraint on the AI boom.

The Broadcom CEO also stated that many AI investors lack basic understanding of the technologies they are betting on, yet hold extremely high return expectations, behaving like gamblers in a casino.

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