Movement Alert|GraniteShares 2x Long AMD ETF Drops 10.82% in Regular Trading, Semiconductor Sector Hit by Broad Selloff and AI Bubble Warnings

Market Focus06-04

On June 4, GraniteShares 2x Long AMD ETF (AMDL) declined 10.82% in regular trading, trading at $67.4/share, with trading volume of approximately $74.72 million. The leveraged ETF amplified AMD's underlying decline as the broader semiconductor sector came under heavy selling pressure.

Multiple catalysts drove the selloff. AMD shares fell 3.51% amid a collective semiconductor rout, with Broadcom dropping 13% and Arm falling 6.3%. Bridgewater founder Ray Dalio issued a warning that an AI bubble is approaching a breaking point, citing speculative excess and paper wealth growth far outpacing actual cash flow expansion. Additionally, NVIDIA's recent entry into the PC processor market with its RTX Spark chip continues to weigh on AMD, as analysts suggest NVIDIA could rapidly erode AMD's market share in both PC and server CPU segments. As a 2x daily leveraged product tracking AMD, AMDL magnified the underlying stock's losses during the session.

(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.)

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment