ProShares UltraPro S&P500 is trading 5.3% down as its 3x leverage amplifies a broad decline in U.S. large-cap equities following a stronger-than-expected May jobs report.
- The robust employment data is pushing traders to price in higher-for-longer interest rates, placing significant pressure on the growth and tech stocks that dominate the S&P 500.
- As a 3x leveraged fund, the ETF is experiencing magnified losses relative to the underlying index, which is moving lower alongside the Nasdaq.