Tech stocks wobble on deepening Sino-US chip war

Tech stocks wobble on deepening Sino-US chip war
Chip stocks in Asia tumbled on Thursday while their European counterparts got off to a tentative start after a news report that the United States was considering tighter curbs on exports of advanced semiconductor technology to China.
Among the worst hit in Asia were shares of Taiwan Semiconductor Manufacturing Co (TSMC) (2330.TW), the world's largest contract chipmaker, which has shed roughly T$1.7 trillion ($52.13 billion) in market value over two days.

Remarks from U.S. Republican presidential nominee Donald Trump that Taiwan should pay America for its defence added to the wave of bad news and sent shares of TSMC down 2.4%.
In its earnings results on Thursday, TSMC said it expects third-quarter revenue to surge by as much as 34% from a year earlier, after posting a quarterly net profit that beat market expectations.
Other technology behemoths in Asia similarly suffered losses, with South Korean memory chipmaker SK Hynix (000660.KS),sliding 3.6% and Japan's Tokyo Electron (8035.T),8.75%.
The Global X Asia Semiconductor exchange-traded fund (3119.HK), which lists SK Hynix, Tokyo Electron, TSMC, and Samsung Electronics among its major holdings, fell 1.74%, reducing gains for the year to 16.7%.
Over in Europe, the STOXX 600 index (.STOXX), rose 0.2%, though the technology sub-index (.SX8P), fell to a six-week trough and last traded 0.37% lower.
The Bloomberg News report published during Asian trading hours on Wednesday said President Joe Biden's administration was weighing a measure called the foreign direct product rule that allows the U.S. government to stop a product from being sold if it was made using American technology.