Exchange-traded fund investors who placed record bets on the US technology space last week are getting crushed Monday as anxiety over competition from a Chinese startup’s AI model is hitting tech stocks hard.
Traders piled into an ETF that tracks twice the daily returns of the Nasdaq 100 at the fastest pace ever last week, driving a net inflow of $847 million into the ProShares Ultra QQQ ETF (ticker QLD). The bet is faring poorly so far, as the $8.2 billion fund dropped 6.3% Monday morning in New York.