Market Overview - The precious metals market has experienced a bullish environment driven by economic stability fears and inflation concerns, leading to a surge in gold prices [1] - The Federal Reserve's reduction of benchmark interest rates has contributed to the rise in gold prices, with rates moving from 4% to 4.25% to a range of 3.75% to 4% [2] - The Fed's decision to halt the runoff of its security holdings marks the end of the quantitative tightening program, with the balance sheet decreasing from nearly $9 trillion to $6.59 trillion [3] Price Movements - Despite the bullish sentiment, gold prices have recently dipped over 8% since October 20, attributed to profit-taking and uncertainties surrounding tariffs and government shutdowns [4] - JPMorgan forecasts gold prices to average $5,055 per ounce by Q4 2026, citing sustained investor interest and central bank buying as key drivers [5] Sector Analysis - Experts believe the gold mining sector is undervalued, particularly junior explorers compared to established enterprises, indicating potential investment opportunities [6] - Direxion offers ETFs for speculators, including the NUGT and DUST, which allow for leveraged and inverse positions in the gold mining sector [7][8] ETF Performance - The NUGT ETF has gained 262% since the start of the year but has seen a 22% decline in the past month, with its price slipping below the 50-day moving average [11] - The DUST ETF has decreased by almost 83% since January but has recently gained nearly 15% in the trailing month, managing to rise above the 20-day exponential moving average [13][15]

Core Viewpoint - Advanced Micro Devices Inc (AMD) has made a significant deal with OpenAI, which could potentially unlock $135 billion in revenue, but concerns about an AI valuation bubble have led to stock volatility [1][2][5]. Company Performance - AMD stock has increased nearly 78% since the beginning of the year and over 35% in the last month [2]. - The stock experienced a decline of almost 8% heading into the weekend following the deal announcement [6]. Deal Details - The agreement with OpenAI involves deploying 6 gigawatts (GW) of AMD's GPUs to support OpenAI's data center infrastructure [4]. - OpenAI may receive up to 160 million shares of AMD stock through performance-based warrants as GPU deployments meet specific benchmarks [4]. Market Impact - The deal is expected to provide a substantial revenue boost for AMD while potentially negatively impacting Nvidia [5]. - Analysts express caution due to significant customer concentration risks, with OpenAI possibly accounting for over 40% of AMD's revenue by 2027 [5]. Investor Sentiment - There is a growing skepticism regarding the sustainability of the AI market, contributing to AMD's stock decline [6]. - Nvidia's CEO expressed surprise at AMD's partnership with OpenAI, indicating a level of skepticism about the deal's implications [6]. ETF Performance - The Direxion Daily AMD Bull 2X Shares (AMUU) ETF has gained approximately 168% year-to-date, despite recent volatility [11]. - The Direxion Daily AMD Bear 1X Shares (AMDD) ETF has lost about 60% of its value year-to-date, reflecting a negative overall narrative [13].