Taiwan Semiconductor Manufacturing Co. (TSMC) is experiencing a positive market movement, driven by a rebound in Taiwan's stock market ahead of the U.S. Federal Reserve's interest rate decision. On December 18, 2024, the Taiex index closed up 0.65%, with TSMC contributing significantly to the recovery. TSMC's stock rose 0.95% to close at NT$1,085.00, as investors showed increased buying interest in large-cap stocks during the afternoon session. This uptick in TSMC's stock price helped the broader market recoup earlier losses, despite initial caution due to the Fed's impending decision.
The market's focus on TSMC and other tech stocks was evident as bargain hunters took advantage of the situation, leading to a rise in the electronics sector by 0.82%. TSMC, being the most heavily weighted stock in the local market, played a crucial role in the market's overall performance. The anticipation of the Fed's decision and its potential impact on inflation and interest rates has kept investors on edge, but the willingness to take risks and pick up bargains has provided a boost to TSMC's stock.
The Direxion Daily TSM Bull 2X Shares (TSMX) is up 3.82% in pre-market hours on Wednesday, December 18, reaching $32.11 as of 6:15 AM ET.