On June 4, GraniteShares 2x Long AMD ETF (AMDL) declined 8.21% in pre-market trading, trading at $70.6422/share, with trading volume of approximately $2.0229 million. The leveraged ETF amplified ongoing weakness in the underlying AMD stock.
The decline follows NVIDIA's announcement of its first PC processor, the N1X, developed in partnership with Microsoft. The new RTX Spark chip will debut in Windows PCs from Dell, HP, Lenovo, ASUS, and MSI this fall, directly challenging AMD's entrenched position in the PC processor market. NVIDIA CEO Jensen Huang stated that Microsoft and NVIDIA will reinvent the personal computer, signaling a major competitive threat to incumbents.
Beyond the PC chip competition, AMD also faces headwinds from expanded U.S. AI chip export restrictions requiring licenses for sales to buyers whose ultimate parent companies are based in China, weighing on AI chip revenue expectations. Analysts note that NVIDIA, with a market capitalization of approximately $3.2 trillion, is leveraging its AI ecosystem advantages to reshape the PC chip landscape that AMD and Intel have dominated for decades. As a 2x daily leveraged product, AMDL magnifies AMD's price movements in both directions.
(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.)
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