Leveraged Shares 3x (3SMH) | News Based Sentiment Analysis

• On September 1, 2025, the 3SMH ETP closed at €4.171, showing a slight increase of +0.16%. This modest gain occurred at the beginning of September, signaling a cautiously optimistic start to the month for this ETP.
• Nvidia's earnings report on September 1, 2025, beat estimates, but the company cautioned about 'further growth, but at a slower rate,' leading to a 2% decline in Nvidia's stock price in August. Despite this, the broader tech sector experienced strong earnings growth, exceeding 20% overall.
• A 'tech rout' impacted the market on August 29, 2025, driven by economic and monetary policy concerns. Discussions at the time suggested a potential 25 basis point rate cut by the Federal Reserve in September, reflecting attempts to address these concerns.
• As of August 29, 2025, the Net Asset Value (NAV) of the 3SMH ETP was $4.82, while its price on Euronext Amsterdam closed at €4.165, a significant daily drop of -7.04%. This decline coincided with the broader 'tech rout' sentiment, indicating a negative market reaction.

The Investment Story: August and early September 2025 saw a mixed bag for the tech sector, with strong earnings growth offset by market anxieties and a notable decline in the 3SMH ETP's price. The potential for Federal Reserve intervention added another layer of complexity to the investment landscape.

What It Means for Investors: The volatility in the tech sector, as evidenced by Nvidia's reaction and the 3SMH ETP's price drop, highlights the sensitivity of these investments to macroeconomic factors and future growth expectations. Investors should be prepared for potential fluctuations and carefully consider their risk tolerance.

Looking Ahead: Investors should watch for the Federal Reserve's decision regarding potential rate cuts in September and monitor how Nvidia's slower growth outlook impacts the broader semiconductor sector. Further developments in the tech rout will also be crucial to observe.

The Bottom Line: The month of August and the beginning of September presented a cautionary tale for tech investors, demonstrating that even strong earnings can be overshadowed by broader economic concerns and market sentiment. A cautious approach and close monitoring of key indicators are warranted.