TSMC stock rises 2.1% after Intel acquisition talks fade

Taiwan Semiconductor Manufacturing Company (TSMC) saw its stock rise by 2.1% today, even as the broader market faced losses. The S&P 500 fell by 0.3%, and the Nasdaq Composite dropped by 0.4%. Investors reacted positively to news that TSMC will not acquire Intel's chip foundry business. There had been speculation about a possible deal, but many analysts believe that such a purchase would be too expensive for TSMC. Intel's foundry business has been struggling, losing billions over recent years. It has also struggled to secure major contracts from other companies. This has raised questions about whether TSMC or other companies, like Nvidia, might step in to help by investing in or buying Intel's struggling unit. However, investors are wary of what this might mean for TSMC. If they invest in Intel's foundry, there is a risk it could lead to further losses down the road. While an improved Intel foundry could eventually benefit TSMC, the uncertainty around it has contributed to stock market volatility for both companies.