🔴 SMH3.L plunges 20% after Samsung's strong earnings trigger semiconductor selloff amid AI valuation concerns

SMH3.L is trading at $21.85, down approximately 20% on July 7, 2026. The sharp decline in the 3x leveraged ETF follows a broad selloff in the semiconductor sector. This selloff was primarily triggered by Samsung Electronics' strong Q2 2026 profit outlook, which paradoxically led to investor concerns about the sustainability of AI-related semiconductor valuations and prompted profit-taking across major chip names like Micron and Intel. The VanEck Semiconductor Index (SMH) also experienced significant selling, reflecting broader market sentiment rather than ETF-specific issues.