Phyrex|Jul 08, 2026 17:12
Although semiconductors continue to decline, there are signs that funds are frantically buying at the bottom
Yesterday, SOXX had a net inflow of 5.4 billion US dollars in a single day, setting a new historical record and being four times the previous high. If we also include three times the amount of funds invested in long semiconductor ETFs, the total amount of funds flowing into long semiconductor ETFs yesterday reached 7.1 billion US dollars.
Bloomberg ETF analyst Eric Balchunas believes that this scale is almost impossible to be driven by retail investors, and is more like a quantitative model or centralized allocation of funds by large institutions.
More noteworthy is that SOXX has accumulated a decline of about 16% in the past two weeks. That is to say, while the market is selling semiconductor stocks, a large amount of funds are quickly entering this sector through ETFs.
Of course, this does not mean that semiconductors have bottomed out. The fund flow of ETFs is sometimes affected by factors such as primary market subscriptions and asset allocation adjustments, and not necessarily all of them are actively bullish.
But at least it can indicate that there is already a significant amount of funds starting to turn this round around as an opportunity to allocate semiconductors.
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