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Semiconductor ETF draws $7.1 billion, buyers return to AI chip trading

2026-07-10 12:50:39
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Semiconductor ETFs attracted US$7.1 billion in a single day, investors returned to AI chip trading

On July 8, a net inflow of U.S. semiconductor ETFs had US$7.1 billion, of which BlackRock\'s iShares Semiconductor ETF (SOXX) recorded a record inflow, indicating that investors have repositioned the chip sector after a sharp correction in AI-related stocks. On that day, SOXX\'s net subscription volume reached US$5.43 billion, pushing its total assets to approximately US$46.3 billion in a single day. The inflow set the largest single-day record for the fund since its inception in 2001 and was more than three times the previous single-day high.

Leveraged trading varieties also attract new funds. Direxion triples daily to gain $1.28 billion in net inflows to the Semiconductor ETF (SOXL), placing it second only to SOXX and SPY in ETF.com\'s July 8 subscription rankings. VanEck Semiconductor ETF (SMH) added $552 million, indicating that funding is not concentrated in a single fund.

As of that day, SOXX was trading near $581.70, up about 3.5% a day, and SOXL was trading near $192.45, up about 10%. As the largest AI indicator in the sector, NVIDIA shares are close to $202.78, with a market capitalization of just under $5 trillion.

Funds entered the market while chip stocks were pulled back

The inflow of funds occurred after a round of declines in the AI and semiconductor sectors, and Nvidia\'s valuation has been pulled back to pre-explosion levels. The stock fell about 16% from its May high and lost about $1 trillion in market value, and its forward P/E ratio fell to about 18 times. But this round of correction did not drive investors out of chip trading, but instead caused funds to flow back into broad-based semiconductor tools. SOXX\'s positions cover U.S. -listed chip design, manufacturing and equipment suppliers, all of which are closely related to AI infrastructure investment. The BlackRock Fund page shows that SOXX tracks the stock index of semiconductor companies and holds targets that cover the industry value chain.

This capital movement continues the previous inflow trend. Semiconductor ETFs have long become one of the most representative open market tools in the AI capital expenditure boom. Investors deploy through chip funds, while the demand for cryptocurrency ETFs is still divided.

Leveraged funds show a rebound in risk appetite

Net inflows from SOXL reflect a high-beta version of the same deal. The product seeks three times the daily return of its benchmark index and is a short-term tool for traders to amplify fluctuations in semiconductor indices. The July 8 subscription form also showed $150 million outflow from the Direxion Triple Short Semiconductor ETF (SOXS). This divergence pattern means that money is moving out of bearish leveraged products at the same time as it is pouring into bullish semiconductor exposure.

Before the funding boom, semiconductor stocks had occupied a record position in the market. As the momentum of the SOX index accelerates, the weight of this sector continues to expand, becoming one of the biggest drivers of U.S. stock performance in the AI market and pushing the weight of the semiconductor market to a record high.

ETF.com data shows that the total net inflow of U.S. equity ETFs on July 8 was US$11.98 billion, and the total net inflow of ETFs in all asset classes was US$18.63 billion.

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