Direxion Daily MU Bull 2X Shares (MUU) surged 5.04% intraday, as the leveraged exchange-traded fund, which aims to deliver twice the daily performance of Micron Technology, experienced amplified gains during a broad rally in the memory chip sector.

The rally follows a period of sharp selling pressure triggered by regulatory changes in South Korea, where authorities tightened rules on single-stock leveraged ETFs. Market sentiment turned positive as SK Group Chairman publicly forecasted that AI chip demand could surge 60% to 100% next year, with overall memory demand growing 50% to 60%. He noted that supply-side capacity expansion remains limited, suggesting a widening supply-demand gap that benefits memory manufacturers.

Further supporting the sector, Middle Eastern sovereign AI investment entities have begun negotiations with Korean memory manufacturers on medium-to-long term procurement plans. The 2x leveraged structure of the Direxion Daily MU Bull 2X Shares ETF mechanically amplified the rebound in its underlying assets as the memory storage sector extended its recovery.