TSMC Surge Boosts Taiwan Stocks Amidst Asia's Best Week in Months

Asian shares are expected to have their best week in months, with Taiwan's TSMC leading the charge. The chipmaker's surge has boosted Taiwan stocks, while the S&P 500 and Nasdaq also reached fresh record highs. Barclays raised its price target on TSMC to $275 from $240 and maintained its overweight rating. European shares saw their first daily gain in five on strong earnings.

Asian shares are poised for their best week in months, with Taiwan's TSMC leading the charge. The chipmaker's impressive performance has lifted Taiwan stocks, while the S&P 500 and Nasdaq have also reached new record highs. Barclays has raised its price target on TSMC to $275 from $240, maintaining its overweight rating [1].

The surge in TSMC's stock price is attributed to strong earnings reports and increased demand for AI chips. The company's second-quarter earnings beat estimates, with earnings per share of $2.47 and sales of $30.07 billion, compared to analysts' expectations of $2.38 per share and $30.21 billion in sales [3]. TSMC's stock has nearly doubled in the past three months, reaching a record high of 247.38 in premarket trading [3].

The positive sentiment surrounding TSMC has spilled over to other Asian markets. Asian stocks rallied broadly on Tuesday as traders reacted positively to Chinese GDP data for the first half of 2025, which showed solid 5.3 percent growth despite a complex global environment [2]. The dollar held near a three-week high in Asian trading, but the overall mood was buoyant [2].

In addition to TSMC's impact, European shares saw their first daily gain in five on strong earnings. The rally in Asian and European markets was supported by positive economic data and earnings reports from major companies [2].

The momentum in Asian shares is expected to continue, with Taiwan's TSMC set to drive further gains in the region. The chipmaker's strong performance and positive outlook have boosted investor confidence in the semiconductor sector, which is a critical driver of growth in many Asian economies [1].

References:
[1] https://www.reuters.com/markets/asia/
[2] https://www.nasdaq.com/articles/asian-shares-rise-after-key-china-data
[3] https://www.investors.com/news/technology/tsmc-stock-taiwan-semiconductor-q2-2025-earnings/