Taiwan Semiconductor (NYSE:TSM) stock is on the move Tuesday as investors continue to discuss the effects of chip export regulations on China.
All of this is the result of President Joe Biden’s administration putting extra restrictions on China. The goal is to hamper China’s use of powerful semiconductors for artificial intelligence (AI) and other applications.
Now, restrictions include U.S. vendors being unable to sell powerful processors to Chinese customers. U.S. vendors will also be kept from exporting technology used to make these types of chips to customers in China.
Regulations May Spread Beyond China
While there’s no official word yet, insiders claim that the U.S. may add other countries to its export restrictions. If so, that could cause further problems for chips stocks like TSM stock. Investors aren’t looking forward to that, either; current export regulations have hit global chip stocks for about $240 billion.
In the case of TSM stock, shares have been on a steady fall since Friday. TSM has dropped from $74.35 per share at Thursday’s close to $64.29 per share as of this writing. This is a roughly 13% drop in value over the last three days.
Focusing on Tuesday’s trading, shares of TSM are down nearly 5% this morning.
Investors hunting for more of the latest stock market news will want to stick around!
InvestorPlace is home to all of the hottest stock market news traders need to know about for Tuesday! Among that is what has shares of airline stocks moving, the latest on Joby Aviation (NYSE:JOBY) and this morning’s biggest pre-market stock movers. You can find out all about these matters at the following links!
More Tuesday Stock Market News
- Why Are Airline Stocks DAL, AAL, UAL Up Today?
- JOBY Stock Gains on Delta Air Lines Deal
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.