Completely insane? Total assets of leveraged ETFs for Korean chip stocks reach $31.4 billion, with SK hynix-related product scale exceeding 4 times its average daily trading volume

Odaily Planet Daily News The Kobeissi Letter stated on platform X that the leverage level of Korean chip stocks is at an extremely high and out-of-control state. The total assets of leveraged and inverse ETFs tracking the single stock of SK hynix are approximately $19 billion, exceeding 4 times the stock's average daily trading volume of about $4.5 billion this year. The assets of Samsung-related leveraged ETFs are about $12.4 billion, 176% higher than its average daily trading volume of approximately $4.5 billion.

In addition, the 2x leveraged long SK hynix ETF listed in Hong Kong has assets of about $13 billion, roughly twice the average daily trading volume of SK hynix, marking the largest gap among all major stocks tracked by leveraged ETFs. By comparison, Micron (MU) leveraged ETF assets are about $9.9 billion, far below its average daily trading volume of about $27.5 billion; Tesla and Nvidia leveraged ETF assets are approximately $6 billion and $5.6 billion respectively, both significantly lower than their average daily trading volumes of about $23.6 billion and $28.8 billion.