On September 14, Direxion Daily Gold Miners Index Bull 2X Shares fell 8.08% in regular trading, trading at $168.125/share, with turnover of approximately $49.01 million.

On the news front, the U.S. August core CPI came in above expectations on a month-over-month basis, reinforcing market conviction that the Federal Reserve will raise interest rates at its upcoming September 15-16 meeting. CME FedWatch data now shows the probability of a 25-basis-point hike approaching 90%. Multiple major international investment banks have collectively shifted their forecasts, projecting the policy rate will be raised to the 3.75%-4.00% range. Fed Chair Wosh had signaled at the Jackson Hole conference that U.S. inflation remains too high and the Fed stands ready to act as needed.

The strengthened rate hike expectations pressured spot gold, which had already experienced sharp intraday swings earlier in the week, briefly plunging over $50 after CPI data before rebounding to test the $4,400/oz level. As a 2X leveraged bull ETF tracking gold mining stocks, the fund amplified the underlying sector losses, resulting in a magnified decline.

The fund is composed of publicly traded companies involved primarily in gold mining and, to a lesser extent, silver mining across developed and emerging markets. It invests at least 80% of net assets in financial instruments providing 2X daily leveraged exposure to the index. The fund is non-diversified.

(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.)