Why Taiwan Semiconductor Fell 7.6% in October
Shares of Taiwan Semiconductor Manufacturing (NYSE: TSM) fell 7.6% in October, according to data from S&P Global Market Intelligence. That was in contrast with the broader S&P 500 index, which was up 8% during the month.
Taiwan Semiconductor, the largest pure-play foundry in the world, actually reported a good quarter later in the month. However, management did warn that some of its end markets were softening. In addition, the U.S. government announced a harsher-than-expected ban on advanced semiconductor sales to China, hurting sentiment around every semiconductor company involved in leading-edge chip production.
In early October, the Biden administration doubled down on restrictions of advanced chips to China, some of which had been announced earlier this summer.
Source Fool.com
