Last week witnessed significant milestones in the financial markets, with both the Nasdaq and S&P 500 indices closing at record highs. The S&P 500 rose by 3.44%, the Dow Jones Industrial Average increased by 3.82%, and the Nasdaq Composite climbed 4.25%. This bullish sentiment was supported by developments in trade relations and evolving expectations around interest rates.
On the trade front, the United States and China have reportedly finalized a trade framework ahead of the tariff deadlines previously set for July 8th and 9th. The U.S. Commerce Secretary indicated that the Trump administration is also nearing agreements with several other major trading partners.
Inflation data revealed a slight uptick in the core PCE index for May, while consumer income and spending figures fell short of expectations. In a notable development, former President Trump publicly called for Federal Reserve Chair Jerome Powell to resign, advocating for a replacement more inclined toward interest rate cuts.
Sector performance was led by cryptocurrency and semiconductor stocks. Nvidia’s share price reached a new peak, approaching a $4 trillion market capitalization. Meanwhile, stablecoin issuer Circle experienced a sharp decline of 25%, though Coinbase bucked the trend with a substantial 15% surge.
Top Gainers: U.S. Leveraged ETFs
The best-performing ETFs were largely leveraged products targeting specific high-flying stocks and sectors.
Tidal Trust II Defiance Daily Target 2X Long RKLB ETF (RKLX) led the pack with a gain of 35.71%. This fund, which provides double the daily performance of Rocket Lab (RKLB), saw increased interest after the company was selected by the European Space Agency (ESA) to deploy satellites using its Electron rocket.
GraniteShares 2x Long COIN Daily ETF (CONL), a double-leveraged ETF tracking Coinbase Global, surged 28.42%. The rally followed a major analyst upgrade. Bernstein likened Coinbase to a "one-stop Amazon for crypto finance," significantly raising its price target and calling it the "most undervalued asset in the crypto industry."
GraniteShares 2x Long AMD Daily ETF (AMDL) advanced nearly 25%, mirroring a strong week for Advanced Micro Devices. AMD’s new AI processor, the MI350 series, is reported to outperform competing chips from Nvidia and marks a significant generational improvement for the company.
The table below summarizes the top ten performing U.S. ETFs for the week:
| Ticker | ETF Name | Weekly Gain | Volume (USD) | Net Flow (USD) | Assets (USD) |
|---|---|---|---|---|---|
| RKLX | Tidal 2X Long RKLB ETF | 35.71% | 133M | -5.67M | 48.16M |
| CONL | GraniteShares 2x Daily Long COIN ETF | 28.42% | 3.37B | 2.35M | 1.35B |
| AMDL | GraniteShares 2x Daily Long AMD ETF | 24.93% | 1.82B | 6.71M | 451M |
| AMUU | Direxion Daily AMD Bull 2X Shares | 24.34% | 54.6M | 692.2K | 11.27M |
| SCO | ProShares UltraShort Bloomberg Crude Oil | 21.99% | 571M | 16.64M | 106M |
| NVDL | GraniteShares 2x Daily Long NVDA ETF | 19.78% | 4.35B | 87.42M | 4.44B |
| NVDX | T-REX 2X Long NVIDIA Daily Target ETF | 19.67% | 1.15B | 30.76M | 651M |
| NVDU | Direxion Daily NVDA Bull 2X Shares | 18.96% | 460M | 46.07M | 684M |
| SOXL | Direxion Daily Semiconductor Bull 3x Shares | 18.39% | 13.71B | -21.69M | 14.49B |
| TSMX | Trism Inc | 17.23% | 76.0M | 3.89M | 126M |
Key Equity ETF Highlights
Leveraged ETFs focused on major technology companies captured significant investor attention and capital flows.
The GraniteShares 2x Daily Long COIN ETF (CONL) continued its strong performance, reinforcing positive sentiment around cryptocurrency equities.
The GraniteShares 2x Daily Long NVDA ETF (NVDL) rose 19.78%. Nvidia itself has rallied over 60% since its April lows, with its market cap touching $3.85 trillion. Recent SEC filings show that CEO Jensen Huang sold additional shares of the company this month.
The ProShares Ultra Semiconductors ETF (USD), which offers two times the daily performance of the Dow Jones U.S. Semiconductors Index, gained 16.92%.
Commodity ETF Performance
Commodity ETFs presented a mixed picture, with inverse products leading the gains.
The ProShares UltraShort Bloomberg Crude Oil ETF (SCO), which aims to deliver twice the inverse daily performance of WTI crude oil, jumped 21.99%.
The ProShares UltraShort Bloomberg Natural Gas ETF (KOLD) increased by 10.03%, while the ETFS Physical Palladium Shares ETF (PALL) saw a gain of 7.96%.
Top Performers: Hong Kong ETFs
The Hong Kong market also saw explosive gains in leveraged ETFs tied to U.S. crypto and tech names.
The CSOP 2X Long Coinbase ETF (07711.HK) skyrocketed 61.53%, and a similar product, the XL 2X Long COIN ETF (09711.HK), rose 60.46%. An ETF offering leveraged exposure to Nvidia, XL 2X Long NVDA ETF (09788.HK), also performed well with a 15.27% gain.
The following table details the top ten performers:
| Ticker | ETF Name | Weekly Gain | Volume (HKD) | Net Flow (HKD) | Assets (HKD) |
|---|---|---|---|---|---|
| 07711.HK | CSOP 2X Long Coinbase ETF | 61.53% | 11.86M | 321.2K | 39.08M |
| 09711.HK | XL 2X Long COIN ETF | 60.46% | 323.7K | -59.4K | 4.94M |
| 09788.HK | XL 2X Long NVDA ETF | 15.27% | 152.8K | 70.6K | 3.02M |
| 07788.HK | CSOP 2X Long NVDA ETF | 14.88% | 4.70M | -503.8K | 23.78M |
| 07234.HK | XL 2X BOCHK ChiNext ETF | 12.70% | 31.54M | 4.93M | 171M |
| 07262.HK | FL 2X CSOP Nikkei 225 ETF | 9.80% | 826.8K | 11.5K | 73.78M |
| 07226.HK | CSOP 2X LONG HK Tech ETF | 8.69% | 5.65B | 315M | 10.41B |
| 03112.HK | Pando CSOP Blockchain ETF | 7.77% | 826.4K | 323.3K | 84.83M |
| 07261.HK | FL 2X ChinaAMC Nasdaq 100 ETF | 7.45% | 3.01M | -2.22M | 95.85M |
| 07266.HK | CSOP 2X Long Nasdaq 100 ETF | 7.31% | 27.51M | 7.38M | 109M |
Weekly Market Commentary and Analyst Views
Shift in Fed Leadership Calls?
Former President Trump reiterated his criticism of current Federal Reserve Chair Jerome Powell, publicly calling for his resignation. He stated a preference for a new chair who is willing to cut interest rates more aggressively, accusing Powell of being obstructive to economic growth.
J.P. Morgan’s Bullish Model
Analysts at J.P. Morgan updated a proprietary equity forecasting model that uses six signals—including economic momentum, price trends, and fund flows—to predict the direction of the S&P 500. The model currently indicates a near-100% probability of the market moving higher in the second half of the year.
Bank of America Warns of a “Policy-Driven Bubble”
Despite the bullish inflows, cautionary notes emerged. Strategists at Bank of America highlighted that $164 billion has flowed into U.S. stocks year-to-date, potentially creating a speculative bubble fueled by anticipation of Federal Reserve policy easing.
Coinbase Earns Strong Buy Rating
The bullish case for Coinbase was powerfully articulated by analysts at Bernstein. They upgraded the stock to “Outperform,” dramatically raising their price target and labeling it the “most undervalued asset in the crypto industry.” Their report positions Coinbase as a dominant, all-encompassing platform in the crypto financial ecosystem.
For investors looking to capitalize on these high-momentum trends, conducting thorough research is crucial. 👉 Explore advanced trading tools and data to inform your strategy.
Frequently Asked Questions (FAQ)
What is a leveraged ETF?
A leveraged ETF uses financial derivatives and debt to amplify the daily returns of an underlying index or asset. For example, a 2x leveraged ETF aims to return twice the daily percentage performance of its benchmark. These are complex instruments typically suited for short-term trading due to the effects of volatility decay.
Why did Coinbase and its related ETFs perform so well?
Coinbase's strong performance was driven by a major analyst upgrade from Bernstein, which significantly raised its price target and praised its business model as a comprehensive platform in the crypto economy. This positive sentiment flowed into ETFs that hold the stock or use leverage to track its price.
What are the risks of investing in leveraged ETFs?
The primary risks include volatility decay, which can erode returns over longer periods, and increased losses during market downturns due to the use of leverage. They are generally considered more appropriate for sophisticated investors with a high-risk tolerance and a short-term trading horizon.
How is Nvidia performing in relation to its market capitalization?
Nvidia's stock has been on a remarkable run, climbing over 60% from its April lows and pushing its market capitalization toward $4 trillion. This growth is largely fueled by its dominant position in the AI and data center chip markets, though some investors monitor insider selling activity.
Where can I find data on ETF flows and performance?
ETF data, including daily flows, assets under management, and performance metrics, is available through many major financial data platforms, brokerage terminals, and dedicated financial news websites. 👉 View real-time market analysis tools to stay updated.
What was the impact of the PCE inflation data?
The core PCE index for May, the Federal Reserve's preferred inflation gauge, came in slightly above expectations. This data point is closely watched as it influences the Fed's decisions on interest rates, with higher readings potentially delaying rate cuts.