TSMC's Strong Performance Fuels Global Chip Rally

Taiwan Semiconductor Manufacturing Co.'s positive outlook on capital spending and revenue has sparked a $165 billion rally in semiconductor stocks, signaling hopes for a broad tech rebound in 2024. TSMC's projected growth in smartphone, chip, and computing demand, along with its plans for new chipmaking plants, have boosted investor confidence. The company's focus on AI and expectations for traditional end market trends have contributed to a more bullish outlook. However, uncertainties remain, including challenges in China's market and headwinds faced by major customer Apple.