Shares of Taiwan Semiconductor Manufacturing (NYSE: TSM) were moving higher as the chip manufacturing giant seemed to benefit from a broader tailwind in the semiconductor industry after Nvidia said it regained approval to sell its H20 artificial intelligence (AI) chip in China. The H20 is a less powerful version of the AI chips it sells in the U.S. and to other allies.
Nvidia is one of Taiwan Semi’s biggest customers, and the news set off a broad rally in the sector, with Advanced Micro Devices shares jumping as well.
As of 10:44 a.m. ET, TSMC, as the company is also known, was up 3%.