GDXU is trading at $160.70 (-3.45%) as gold prices retreat after Federal Reserve Chair Kevin Warsh signaled that additional rate hikes may be needed to contain inflation.
- Higher Treasury yields and a stronger dollar reduce demand for non-yielding gold, pressuring GDXU’s underlying gold-miner funds; gold futures fell roughly 0.9%–1.0% early August 31, while GDX was weaker intraday.
- GDXU’s 3x daily leverage and concentrated exposure to GDX and GDXJ amplify the decline relative to bullion.