Stock Market Update

[BRIEFING.COM] The S&P 500 (-0.2%) and Nasdaq Composite (-0.8%) are off their opening lows as selling pressure across semiconductor stocks eases modestly, while strength in the broader market continues to push the DJIA (+0.6%) higher.

Taiwan Semiconductor Manufacturing (TSM 413.55, -16.45, -3.83%) is trading sharply lower despite reporting better-than-expected Q3 earnings and revenue and issuing Q4 revenue guidance above consensus estimates. The company also reaffirmed its FY26 capital spending outlook of $60-$64 billion and signaled a substantial increase in investment over the next several years to support growing demand for advanced chips. However, sequential margin compression and the costs associated with expanding manufacturing capacity are drawing scrutiny, while broader selling pressure across semiconductor and AI-related stocks continues to overshadow the company's otherwise solid results.

The PHLX Semiconductor Index remains 3.3% lower for the session.