Why Direxion Semis Bull 3X (SOXL) fell 15.27%
Direxion Semis Bull 3X (SOXL) fell 15.27% on November 5, 2026 — Asian chip slide; Arm, Lam lead 3× chip rout.
What happened
Chip stocks sold off hard after weak results from Qualcomm and Arm pulled the Asian chip complex lower. SMH fell 5.9%, and this 3x leveraged fund dropped roughly 15%, with Arm Holdings (−9.1%) and Lam Research (−8.4%)…
Why it moved
SOXL targets three times the daily move of the semiconductor index, so a 5.9% drop in SMH mechanically flows into a much larger loss for the fund. Its holdings' declines compound that effect.
Why it matters
This sits within the Chip Supply Chain theme, where equipment makers and broad-semis beta have ridden the AI capex wave. Today's selloff shows how quickly that beta reverses when sentiment on the cycle turns.
What would break the thesis
A quick rebound in Qualcomm and Arm guidance or a rebound in SMH would reverse the leveraged drawdown fast. Because the fund resets daily, it can also swing violently in both directions over short periods.