Direxion Daily Small Cap Bull 3X Shares is trading 3.5% up today as investors extend a rebound in U.S. small caps following this week’s risk-off inflation scare and subsequent recovery.
- The fund tracks the Russell 2000 with 3x leverage, allowing improving risk sentiment and modest gains in the small-cap sector to translate into outsized upside moves.
- Today’s strength follows a sharp advance on Thursday, suggesting that momentum buying and short-covering are fueling the recovery in beaten-up small-cap stocks.