tsmc and our sourcing is indicating it is working out.d: i think it is worth explaining to the audience what yield is and why it is important. i have had a go at it and will bring the definition up on the screen. it is the volume or number of usable chips in a batch. that is super important when you think about profit and efficiency. ian: the key phrase is production yields. if you do not have production yields, you are losing money on what you are doing. how many do you have to throw away? you have to throw away a lot in the early stages. they are saying we have gotten through the early stages quicker than expected and are in a good position. caroline: what is the ramifications for the u.s. focus on bringing production to the united states? are we going to see more tsmc production? more money coming from the federal government? ian: there is no doubt given the landscape that is what the u.s. government would want from tsmc. we have intel that has had problems. samsung having some issues. if we want this production in this country, tsmc h

it is not tsmc. tsmc has done very well here. they beat earnings estimates and they reassured the market, really, that demand for ai in particular is strong at this point. the ceo got a lot of questions and the call after results about that and he said that the demand is real, he called it in san at one point. there is a reassurance play going on. ed: tsmc boosted its capital expenditures outlook for 2025. why is that important? peter: it's partly important because asml is the company that sells the chipmaking machines to all of these companies. tsmc is the most advanced producer of these chips, and so there is a question about who is going to buy these machines from asml and that others in the industry. we know that a couple of the key players are struggling. intel and samsung are having quite a bit of trouble. tsmc appears to be doing very well partly because of ai to nvidia. they also supply chips to apple, which is trying to sell its phones in part because of their ai capabilities. we are seeing this bifurcation in the market

where tsmc sees the longer-term target is at 53%.another signal that tsmc is robust and the higher in for advanced technology space, ai chips. that's where it is dominating the market and that's what is standing out so far. you could've expected strong net income figures. we had that outperformance coming through over those monthly sales figures but to reiterate that gross margin, it is impressively high. tom: it is indeed. there will be may be further upside today on the back of these results. we have to think about the chips sector and distinguish between that demand for those ai accelerators produced by nvidia and the slumping demand for the chips that go into electric vehicles. there are some view that maybe the misfortunes of asml is not necessarily a bad thing for tsmc. maybe at the rate they would've spent, they are able to use what they already have to produce chips. talk about what you'll be listening for on the earnings call and how to think about some of these factors? >> there's a couple of different things we want to lis

i should mention a tie up between asml and tsmc, because asml, its biggest customer is tsmc and our bloombergntelligence team is saying actually the plunge in bookings for asml could be a positive for tsmc in the midterm because it could remove some of the competitive pressures. it could be positive for tsmc. for taiwan's biggest company. haslinda: that's right, we saw the tie up between intel as well. thank you. speaking of amd, is offering a more upbeat outlook on the chip sector, here's what their executive vice president and chief technology officer told me in our exclusive interview. >> the demand for compute is so explosive so what you will see from a market standpoint is broad growth across all of the factors of computing. we are definitely double digit our data center growth. we are announcing soon, we just closed our quarter. if you look historically we've been growing quarter over quarter double-digit on an annual basis. haslinda: let's get back to jun from tribeca investment partners. we are seeing in a way conflicting views from asml as well as amd and am wondering where you sit o

surging demand for advanced ai—grade chips has helped tsmc become the world's largest contract maker world's output of chips used in everything from apple's iphones to nvidia's cutting—edge artificial intelligence hardware. chip sector expert malcolm penn told us about the company's phenomenal success. there are not superlatives invented yet to describe it, it is like — invented yet to describe it, it is like walking on water, superlatives, juggernaut, these results — superlatives, juggernaut, these results are spectacular. it is also — results are spectacular. it is also the _ results are spectacular. it is also the timing. the third quarter— also the timing. the third quarter is always traditionally strong, — quarter is always traditionally strong, for tsmc, quarter is always traditionally strong, fortsmc, because quarter is always traditionally strong, for tsmc, because this is a period _ strong, for tsmc, because this is a period when they will be putting — is a period when they will be putting out all of the chips for the _ putting out all of the chips for the new iphone, so i'm

there's no question that tsmc is a leader in the space.e cannot deny that, but when we talk about the u.s. government, i think we have to understand this is not just a look at this space from the commercial lens, right? there's a large national security piece that goes into the chips and science act. i don't think we'll be give it all to tsmc and letting it ride. i think what the chips act is looking to do is focus more on just fabs, but to build out a more secure and resilient ecosystem, total ecosystem. research, development and design, fab, distribution. while, yes, it's been slow, and we've seen some success with tsmc, let so with companies like intel, i think for now, what's going to govern u.s. funding and action will be a broader ecosystem to include, tyler, leaning on some allies to help do this. this is a bit challenging, given the commercial competition, but that's the goal. not to be dependent on one company as much as we love tsmc. >> let me pivot just a bit and question, why is china causing trouble -- that's my phrasing. why

tsmc's latest results. up 7%. stay with us.ecommend us. our neighbors, the garcía's, love working with you. because the advice we give is personalized, -hey, john reese, jr. -how's your father doing? to help reach your goals with confidence. my sister's told me so much about you. that's why it's more than advice worth listening to. it's advice worth talking about. ameriprise financial. your business needs a network it can count on... even during the unexpected. power's out! power's out! -power's out! power's out! -power's out comcast business has you covered, with wifi backup to help keep you up and running. wifi's up. let's power on! let's power on! let's power on! -let's power on! it's from the company with 99.9% network reliability. plus advanced security. let's power on! power on with the leader in connectivity. powering possibilities. comcast business. power's out. >>> welcome back to "worldwide exchange." as we close in on the 6:00 a.m. hour, the stories we''re following, taiwan semi shares are up 7%. tsmc is lifting othe

nearly 70% of the tsmc is 7 nano meter and smaller.than triple this year. the ceo adding that he expects demand to continue to grow from the conversations that he's having with his hyperscaler clients, they have yet to see the peak. he paraphrased jepnsen wong's character situation as insane. outside of taiwan where it's spending $54 million. the arizona fab is making significant progress, but he does expect lower profit ability due to higher costs. a positive read through across the semi space. customers like nvidia, amd and intel shares higher right now and a mixed picture for microsoft that are all fabbing to build their own ai chips inhouse, guys. so far, expectations are very high ahead of semiconductor results. >> and whipsawed. many chip stocks, even though they said ai was strong and still many of those in the sector suffered and now we get this report. how do we sort of square this. >> they make these machines that are used by the big chipmakers by samsung and intel and some reasons they missed and the guidance was weaker is b

. >>> tsmc is posting record profits on the back of the a.i.emiconductor. >>> meantime, chinese developers sink as the public briefing underwhelming despite the housing ministry with measures to support the beleaguered property sector. >>> the morning session unfolding here in europe for stock markets and so far what we're seeing is a bounce across the board on the heat map. the benchmark climbing over .2%. a lot of catalysts on the record trading session. a bit more flavor for the tech giants. little more appetite there. it's been a terrific week for the banks stateside. here in europe, more earnings to trade around as well. we are getting it from the consumer giants and telecom players and, of course, the china story. we are sear eing more measures the chinese economyand the prop. the gains we're seeing around the french market .10%. a pace on the italian names and the dax up .6%. left behind is the ftse, traveling behind, but yesterday, it was to the upside gaining 1% in the session. it is left behind in the context that it was on the better

tsmc. the timing, accidental timing of asml, it is important to think about how quickly tsmc comes. it's a continuation of the story, right? the investment cycle into a.i., frankly, and whether we continue to see investment in chip equipment making equipment, and the chips themselves. joanne. joanne: clearly tsmc has released monthly numbers. we have a good indication their results will be solid and led by a.i. the asml news is more about i think china. particularly the pull forward in china for some of that equipment ahead of increasingly severe regulations against a -- asml shipping there. 40% of their business comes out of china. the fact that asml did acknowledge that a.i. continues to be strong. but elsewhere things are weaker could reflect a number of things. starting with intel and its plans to delay some its -- and cancel some of its overseas projects for example. caroline: dig in to how sad as the c.e.o. of asml called it the rest of the market is without a.i. joanne: we have heard from plenty of the analog chip makers like texas instruments that it's weakening and they don

tsmc has announced more than $23 billion in profits for the three months to september. from the second quarter. the taiwanese company is the world's largest producer of advanced chips. its client list includes us tech giants nvidia and apple. instagram has introduced a bunch of teen safety features as the company continues to face scrutiny over protecting the privacy of its young users. users will now not be able to screenshot or screen—record images and videos intended to be viewed once. parent company meta says it will also crack down on scam accounts used to target teens, by sending follow requests from such accounts to users spam folders or blocking them entirely. airbnb is one of the first tech companies to completely transform the way we travel. it upended the hotel market — and in some places the housing rental market too. as housing prices have risen, some cities have been cracking down on airbnbs altogether. the bbc�*s tadhg enright asked the company's chief executive brian chesky if airbnb is contributing to the housing crisis, in this week's edition of talkin

bucking the trend in that space really quickly is tsmc hurried overnight we got news tsmc has cut looseent it found out was funneling chips to huawei which is a chinese company subject to sanctions. let's bring in bloomberg senior executive editor tom giles out of london this week. the qualcomm arm story the timing is astonishing frankly. cristiano was on the show less than 24 hours ago. as far as you can explain the basis of what we reported overnight. that's a good place to start >> there is a dispute between these two companies. qualcomm of the biggest chipmakers when it comes to mobile phones, arm is this u.k. based company that has -- owns the designs for the chips. if you cannot use the design you cannot make the chips. if you don't have basically if they decide to pull the design away from it, the license to use the design. qualcomm is going to be inhibited from making a big swath of the chips it needs to make those mobile phones. this is a legal dispute between the two over an acquisition. it's going to trial and this ratchets up pressure. it does not mean they will absolutely p

tsmc is expanding its global footprint and planning more plants in europe with a focus on the marketor ai chips, according to the taiwan national science minister who did not specify a timeline for the expansion in europe. this as tsmc broke ground on a chip plant in dresden, germany. >> they have started the construction of the first fab in dresden. they are already planning the next phase for different market sectors as well. of course, the most important would be the ai market. caroline: let's get an investor take. michael green is a portfolio manager at simplify asset management, $6 billion under asset management. you have a rich history of thinking through the macro. what do you think about the exuberance still around chip names, is it right to have that? michael: this is a natural challenge, what we call a positive bubble, driving innovation in a space that requires it, but there is almost no real opportunity for the company is currently involved to earn the returns actually built into these expectations. we may see that not happen this month or this quarter, but as we look for

what they should do, number one, foundry out there is is the tsmc. really gain share every year. in our opinion, we have written about it, the u.s. government should give it all to tsmc, have them build fabs in the u.s. otherwise you're just spinning wheels. >> christopher, seven the whole point national security, and you don't want a taiwanese company to develop your chip? >> there's no alternative. if you let intel do it, you might as well light the money on fire. in my opinion, it's never going to work -- i can't say never, but very slim chance of working. >> okay. >> just let tsmc do it. maybe samsung is second best. >> a dire realistic viewpoint, christopher danely, thank you for joins you. >>> we'll reveal the key names to watch next. as we head to break, here's a check on stock as session highs. we are back after this. (grandpa) i'm the richest guy in the world. (man 1) i have time to give. (man 2) i have people i can count on. (grandma) and a million stories to share. (vo) the key to being rich is knowing what counts. (man) these men of means

tsmc identified a client fomenting chips to huawei. ian: there's been a lot of speculation.ot of reports. finally tsmc said yes, we found a customer who was not the customer we thought they were, they were supplying huawei. we cut them off. we don't know how that happened. there will be further investigations. the u.s. government will look seriously. this is what they don't want. caroline: that story has more room to run. thank you. coming up, david einhorn. ♪ >> bloomberg lp is working with the robin hood foundation for a stockpicking competition, for $10,000 that will go to charity to fight poverty in new york. you pick a long and a short investment. you can sign up at robinhood.org. this does not constitute financial or investment advice. for more about the competition and his own investment choices, we are joined by david einhorn of greenlight capital. it is game applying charity. why did you do it this way? you are closely involved with the foundation. what do you expect? david: we thought it would be fun to do in conjunction with the annual investor conference that has

i'm on the sidelines. >> how do you explain the tsmc? >> if 28% of asml sales come from taiwan semi, another 22% come samsung, you can do the math on a 50% bookings decline in the quarter. it has to be something to do with it's got to be just, can't only be pcs, smartphones. servers, that sort of thing. it's got to be some other sort of chips that are related to ai. so again, maybe taiwan semi is looking at a couple of different cust customers that are really important to them. nvidia is one. at some point, i have to think we're going to get someone else that corroborates this. >> taiwan semi talked about momentum in their n3. ultimately, this is what's in iphones. we'll talk about apple later on in this block i think which went to near all time highs, but tsmc, it was good for qualcomm. not bad for apple, maybe positive. so this is where they're seeing high single digit fourth quarter growth and you can make an argument they are the most important chip company in the world on some levels. there was a reason around where they had decent

the tsmc, sk hynix stocks are the biggest drags on the gauge for stocks in the region. these are asml's customers for this part of the world but interesting these double-digit declines in the likes of lasertec, tokyo electron, some analysts pointed out this is because of how high japanese equities had been running. it gives you a sense of how far they've gone and how far they are coming down. tom: avril hong in singapore. the shock waves across the asian market from the strong grade from -- downgrade from asml. concerns amongst clients and suppliers to that maker of lithography machines. asian stocks are part of that selloff and part of the story is around the chips space. worries that the industry is running further out of steam. dutch giant asml coming is outlook after booking just half the orders expected this quarter. let's bring in tech reporter annabelle droulers with details. the results came through a day early, trying to find out why that was. no doubt questions to executives on the call later at two u.k. time. take us through what we heard. >> some of the high

overnight, tsmc.t. >> we are going to see a slew of regional bank reports over the next two to three days and into next weekend we expect to see a continued better than expected performance. asset yields will come down, as you know, but they won't come down as fast as funding cuts. so the regional banks, which rely on interest income to a greater extent than the diversified banks, should do quite well in this environment over the next 12 months. jonathan: regional bank earnings in full swing on the heels of a strong showing from the larger financials. investors are eager to see the effects of lower rates on smaller lenders. herman it is good to see you. what is the early takeaway? >> u.s. bank, pnc today, we have a number of them. i would say across-the-board things are solid. net interest margins are starting to expand at this point in the economic cycle, and that's good to see. because of the margin expansion we are seeing better net interest income. jonathan: help our audience understand the relati

the island is home to businesses like chip giant tsmc, which is bracing for the storm but it says itant impact to its operations". this is a story will continue to monitor as you see there, wins and rain, around the five metre mark. —— winds. over to japan, where its central bank has left its key interest rate on hold as expected. this comes after a snap election led to a loss for the ruling coalition. investment analyst rei murakami explains how the result could influence rates in the months ahead. going forward where the opposition party having bigger voices, they are pressuring more on military easing so that will make it difficult for b0] to raise the interest rate but the same time, i think a huge depreciation in yen, that will be more problematic than slight interest hike so whenever the usd—yen goes up to 160, that'll be an opportunity b0] to further to the interest hike in a more stable manner. japan for years talked about stagflation, no sign of price increases now for the first time in a long time, we are talking about inflation, what does this mean for people there? what's

the island is home to businesses like chip giant tsmc, which is bracing for the storm but it says itpact to its operations". we will continue following the story. over injapan, all eyes are on the bank ofjapan�*s policy decision to be announced in the next hour. this comes after a snap election led to a loss for the ruling coalition. rei murakami from the kadan capital investment firm explains why she expects the b0] to keep rates on hold. going forward where the opposition party having bigger voices, they are pressuring more on military easing so that will make it difficult for boj will make it difficult for b0] to raise interest rates but the same time, i think a huge depreciation in chinese yen, that will be more problematic than slight interest hike so whatever the ust goes up to 160, that'll be an opportunity boj 160, that'll be an opportunity b0] to further to the interest hike in a more manner. bo] to further to the interest hike in a more manner. japan four years — hike in a more manner. japan four years talked _ hike in a more manner. japan four years talked about - four yea

analysts know the bar is much higher for tsmc, so they have to look and sound good, specifically on outlookey add a trump win would be a negative for the company, following remarks for the former president who accused taiwan of stealing america's chip industry. wall street expecting a 41% year over year jump in profits, morgan stanley naming them a top pick. >>> now let's turn to steve and get your trade. you're skeptical on taiwan semis, steve. >> yeah, i'm skeptical as what the actionable momentum is from here going forward, tyler. obviously, you called it. it was up 82% year-to-date going into this print. look at the chart and see if the crack staff can overlay nvidia on this, as well. because however nvidia goes, so goes the market and so goes tsm. nvidia is up 170%. taiwan semi is up 80 something percent, 82%. you have, as seema just said, geopolitical risks. try to diversify to arizona, germany, japan, different areas. but above 80% of their manufacturing is in taiwan. then you have to think of this -- so asml, they talked about a negative outlook for net bookings. that's all of the s

as of right now, that entity is tsmc. targets and maybe even exceeding what they do in taiwan. there are no other players that can make claims anywhere near that. if the goal is to build the capacity and get it here and installed and running in the u.s. to derisk the supply chain, that's happening right now. so stopping that would be a problem. >> have we given up on intel then? >> well, we'll see. they report ur earnings on thursday. clearly, intel's core business is under pressure. they're losing share and they can't rely on their own manufacturing right now. so they're outsourcing more, which is impacting gross margins and everything like that. they are -- they are suggesting that they believe their process over time is getting fixed. they're going to bring volume back to the u.s. and it's going to make everything wonderful. i guess we'll see. they had a day a few month ago where they were sort of giving out targets for where they thought things could go over time. it really was like a 2030 story. even if they are on t

every major chip company that designs chips, they fab with tsmc, nvidia, at an all time high, amd, intelhe hyperscalers trying to work on their in-house a.i. chips. they all fab with taiwan semi. one negative that morgan stanley analysts point out is capex, did come in at the lower end of the range for 2024, 30 billion, the range was 30 to 32 billion. if demand is so strong, why didn't they increase capital spending? the u.s. election seen as a potential catalyst for this stock. mizuho says a trump presidency would be bad for taiwan semi. we'll have to see how that could pan out for the country. geopolitics, ceo did not directly address the threat of china, but did very much say we continue our overseas fab expansions. those three plants in arizona, one expected to ramp up here in 2025. >> some chip stocks giveth, others taketh away. asml and taiwan semi. if you remove the angst of the chip space out of the market, that would be another net positive 250. >> it is spotty in terms of what is working and what's not. what i find interesting, as you say, a concern is that capex is a little bi

tsmc and nvidia worked together to resolve it, and and all is in the clear.lieves the resolution because both are down ever so sight slightly. talk to me about mcdonald's. you're off 7.25%. they've got an e. coli -- that shaves 155 points off the dow. tell me about it. >> a big decliner in the dow. so look the cdc is saying that, unfortunately, they've seen about 10 hospitalizations and 11 death. the common denominator here is they've been asking people what they have been eating, and the common denominator is they're going to mcdonald's and getting, i think it was the quarterpounder burger. look, we don't is have is full confirmation yet, need to hear from the cd can c, but unfortunately things like this do not help the company. stuart: 6%, 7%, that's a big deal. all right. we had some earnings reports before the bell this morning, start with coca-cola. >> big price increases generally are work. the stock is down 3 because it is -- % -- 3%, you had a 9% increase in prices the previous quarter, a 13% increase in prices the quarter before that,s but you are se

openai building in house chips with broadcom and tsmc according to reuters. see shares of broadcom spiking on news. you are watching a lot of interest in the ai story. you have a lot of earnings this week where a lot of capex will be weighed on the heels of a lot of these earnings report but broadcom in particular up 3%. openai seems to be a magic word for this company. in the ai world, there is more news about eli musk and x ai. i talked to raise funding at a value of $40 billion. last valued at $24 billion a few months ago. it rates $6 billion in the spring. a lot of capital needs for these companies and a lot of partnerships. i'm sonali basak. that is it for markets. more markets ahead. this is bloomberg. ♪ it's our son, he is always up in our business. it's the verizon 5g home internet i got us. oh... he used to be a competitive gamer but with the higher lag, he can't keep up with his squad. so now we're his “squad”. what are kevin's plans for the fall? he's going to college. out of state, yeah. -yeah in the fall. change of plans, i've decided to stay loc

tsmc is eking out gains of .5%. the world's biggest iphone assembler is holding its tech day and later this hour we will speak exclusively with hon hai's chairman on his plans to diversify. we will speak also exclusively to jamie dimon at the banks tech stars conference to discuss ai investment, the u.s. election and more. that conversation is at 2:30 p.m. london time. 7:00 a.m., we have germany industrial production, a gauge on the health of the euro zone's economy -- eurozone's largest economy. we will listen into adriana kugler in terms of anymore views posted to that blowout jobs number. coming up, sirens sound in tel aviv as fighting escalates on multiple fronts a year into the conflict. we have the latest from the middle east. that is next. this is bloomberg. ♪ tom: welcome back to bloomberg "daybreak: europe." hamas fired a barrage of rockets towards tel aviv yesterday a year after it launched its attacks on israel. sirens sounded across central israel but the military said it intercepted most of the rockets.

sizzling chips — taiwan's tsmc records a 54% jump in profits on a wave of ai spending.terest rates — as inflation falls sharply. welcome to business today, i'm taidgh enwright. shares in expedia have jumped by more than 7% in after hours trading after the financial times reported that uber has been considering a takeover bid. neither ercompany has commented on the reports. the ft reports that uber approched advisors after a third party suggested a tie—up with the world's second biggest online travel company. uber�*s chief executive, dara khosrowshahi, previously ran expedia, so he knows the company intimately. like most consumer app businesses, it's trying to find ways to sell more things to us. last week, he spoke to our business editor simonjack and had this answer to a question about moving into amazon's territory. think of how we started, we started _ think of how we started, we started with transportation, we moved — started with transportation, we moved to— started with transportation, we moved to moving through the round, — moved to moving through the round, nowh

we reached out to major chipmakers on different continents, tsmc, samsung, all of them delivered commentsed unbothered. they seem to be thriving off of stockpiles. that said, two these two mines in north carolina account for 80% or more of the global supply of quartz. they hopefully soon will be able to reopen after the hurricane. caroline: it feels very painful something that was focused on because of a lack of water is not prevented because of too much water and flooding. do we have a timeframe? anything from the manufacturers as to when they might get back online? dana: our reporting does not kneel down a timeline. the tone is rosy enough. i don't want to say rosie given the circumstances but the manufacturers seem confident that the plans will -- the plants will eventually reopen. caroline: thank you. kkr considering a takeover bid for asmpt. they have made a nonbinding preliminary approach. it follows similar attempts in the past by others. oracle spending $6 billion to build out services in asia, providing data centers to corporate clients. they did not offer specifics. a new law in

tsmc coming through with sales numbers, the producer of accelerator chips for invidious sales at 251on taiwanese dollars. sales up, sales of close to 40%. sales up. of course a maker of chips up, chips up. breaking news, talking about rio tinto buying arcadia, $6.7 billion, transaction expected to close in 2025. that is a stop to watch. rio tinto. hurricane milton regaining category five strength, residents fleeing ahead of its landfall. substantial losses as the combined force triggers payment clauses. mary, but our forecast are saying about milton's strength? mary: what we are hearing is top speeds of wind will slow down, indeed it has. now 160 and slow as it approaches the 130 mile per hour , category three or category four. top wind speeds are not the only thing, we should look at the size of the storm in the winfield of milton, extent of the wind will grow as it approaches landfall, significantly increasing the size of the area impacted. tom: what do we know about where milton will make landfall? mary: late wednesday night local time, exatly where, so much can change, the storm

shares of tsmc upped her -- up a fter a rise in quarterly revenue. september quarter sales of $23.6 billion, cooling analyst concerns that ai spending is tapering off. the nvidia cei -- ceo says the future of ai will be in services that can reason. he says nexgen tools will be able to respond to queries by searching and reflecting on their own conclusions, but prefaces that it all requires the cost of computing to come down first. caroline: coming up, the search for more energy -- may be in space. we speak with the cofounder of robinhood about his new company. ♪ investment opportunities are everywhere you turn. we're letting curiosity light the way. asking smart questions about opportunities like advances in healthcare. and how these innovations will create a healthier world tomorrow. better questions. better outcomes. ed: you are looking at a live shot of the principal room. bloomberg technology is live from los angeles. you do not want to miss it. this is bloomberg. caroline: tiktok has been sued by over a dozen states for allegedly deceiving users

if you look at the latest results coming in from tsmc, they are basically saying we're at the early stage of an ai cycle. from that perspective we do see the applications broadening out and benefiting the broader tech sector as well. haslinda: how about china, are you seeing a reversal attempt of sentiment toward china. people say when it comes to fiscal stimulus the amount to be looking out is 10 trillion yuan. were close to that depending on how you do your calculation. is that the tipping point? will we see a turnaround in terms of the markets in china? >> license on china is this. i think a major pivot is definitely underway. what hasn't changed is the strategic intent to reshape the economic model led by property related to industries with high-end manufacturing. what has changed is that there is now policy consensus that they have to curtail the current deflationary spiral in order to achieve those strategic objectives. therefore we are seeing measures to relieve local government debt and also we're seeing fiscal support for the property market and also the stock market. to your poi

so they've got all the problems of big capital expenditures and can they compete really with tsmc.ged just to traditional use of semiconductors, right? not a.i., but the semiconductors you put yo concern in your phone or car. so a diversified bassett is obviously -- liz: nvidia, taiwan semi but you've also got qualcomm. again, qualcomm's going big on a.i., but certainly broadening to the auto industry. second to chips, the hottest area -- this is interesting, because we've talked about it on the show. tell me about the etf that captures the nuclear power option. >> well, in your prior segment you showed how they're building this huge a.i. data center, compute centers, right? elon musk was, i think, what you featured. look how big the batteries were. they need so -- they're energy hogs. and so the the hyper-scalers are driving a renewed drive towards nuclear energy because nuke race always d -- nuclear's always been there. it's been relatively safe in the united states, and it's clean. it generates -- so it helps the states meet carbon credit goals. and so suddenly, all the hyper-sc

commerce department is used to invest in semiconductor like micron and intel and tsmc investing in the u.s. they need to hit certain milestones to receive that money. wolfspeed will use this money to expand its plants in north carolina and up state new york where it is building silicon carbide which is used to connect batteries to the car's motor. wolfspeed has seen shares under performance in 2024. concerns of rising competition in china and slowing market and higher cost tied to the expansion plans which weighed on the stock. in late august, the company had weaker than expected revenue on the manufacturing issues it was dealing with. the stock is trading around $11 and change, frank. and up 15%. >> yeah. seeing it right there. you mentioned a public-private partnership. is this rare? we see this with apollo put money in the chips company in conjunction with the u.s. government? >> reporter: it is a great point. we have not seen too many examples of teaming up to fund a semiconductor plants. the one unique example that does come to mind is nvidia, frank, which is up to receive billion

others would say, actually, you need to think about how far is china behind tsmc?t gives you the true indication. >> when we talk about the most advanced technology, i think china is behind quite a lot. if we are talking about mature technologies, they are not behind. >> how many years? >> talk about the most advanced manufacturing technologies. 20mm millimeter. i openly say that more than 10 years. >> you need it takes a full decade to catch up or it can be done sooner? >> not any sooner. impossible. tom: taiwan's national science and technology council ba minister speaking exquisitely to bloomberg. president biden announced a six hundred million dollars in recovery aid. the founding will go towards strengthening the region's power stations. damage from hurricane milton loan could cost 15 million -- $50 billion. spacex has achieved a world harvest after it starship rocket booster was successfully captured on its return to the launchpad. more details of that huge development in the world of the space industry, private space, and elon musk's role in it. hi, i'm jaso

they receive the checks from tsmc manufactured there.off to some of their customers, including amazon, microsoft, alphabet. all of that ramping up this ai cloud infrastructure. that is where hon hai is making gains in becoming quite dominant. in the latest figures for the third quarter period we saw the component doing quite well, and overall we saw sales around $60 billion. that was better than what wall street had been expecting a better than what the company was expecting, saying it was their best third-quarter results better. we are watching a big tech to coming up as well. tom: great stuff. annabelle droulers on the ground for us. let's stay on technology and broaden it out a little bit because houthi attacks on the red sea have seen shipping costs or. piracy cause the global economy an estimated $25 billion u.s. annually. joining me now is the ceo and cofounder of unseen labs. you are joining us on a week where you will be participating in an all-star event that focuses on some of the most interesting startups in europe. what is th

neil: nvidia in and out of an all-time high, tsmc, profit jumped 54% to telegraph. like ubs put out big recommendations for that in the ai player. and and the multiple of the magnificent, i say that because earnings now, these are still buys. what do you think? >> and i hold many of the other names in the magnificent seven. stocks running like this is a momentum trade. the true momentum of some of these names, and and the multiples or the p/e ratios, they are growing, they are on their price. >> we talked about it, and 493 stocks in the s&p 500, can anyone go along for the party. >> it depends, they had a heady kind of answer. what's concerned about s&p growth over the last several years is many of the big global corporations have been creating earnings about cutting costs. that's not good for the economy, and and what analysts expect. and tough interest rate environment is room for continued growth more broadly. >> and if we have a decision right away, don't know the answer the next morning and drags on a while, how would the markets deal with that. it's an uncerta

i got a look at the server rack gb-200 with the blackwell chip designed by nvidia made by tsmc and assembledan hai. there's two gpus and one pu. one rack can hold up to 27 trays and comes at a cost of $3 million. han hai is the first to ship the chip later this year. the chairman of han hai says a.i. demand is strong. >> fourth quarter, we are still seeing the a.i. is going to grow. the demand is still very strong, especially we anticipate the gb-200 will start shipping at the end of the fourth quarter. >> the gb-200, i'm looking at it right behind you. you are ready to ship it. what does your order book look like? >> oh, that's, that's very sensitive answer, but i have to tell you is much better than we thought. much better than we thought. yes. >> what is production capacity like? or capacity utilization? >> for the a.i. servers? >> yes. >> i think it's almost fully utilized. we're building new factories for that. >> reporter: young liu says there is still level three and four to go and time to grow for server industry. reporting in t'aipei, back to you, frank. >>> coming up on "worldwide

this is where it wants to compete with the likes of tsmc.ulers with a developing story. in the markets, looks like hong kong is having a moment in the sun. the hang seng index continues to climb, currently surging past that 6% market. hs tech higher by almost 9%. and of course, it is the property developers in particular climbing today. that is on the back of the stimulus measures which china released just last week in an effort to reduce the sentiment in the market as well as an economy. take a look at where we are in terms of the bi china developers index, surging 30%. also keeping an eye on the middle east. oil at one time surging about 9%, now up by 1.3. gold retreating by about half a percent but still close to record highs. in terms of the 10-year gilts, currently at 3.7410, watching those headlines out of the middle east. that is it for "bloomberg markets: asia." "horizons middle east and africa " is next. keep it here with us. this is bloomberg. ♪ the moment i met him i knew he was my soulmate. "soulmates." soulmate! [giggles] why do

stopped shipments to huawei, which is tsmc chips.t's your power check. >>> and they're going after individuals. c cnbc hugh son is here to give us more. >> jpmorgan chase wants the money behalf after thousands of customers withdrew funds. it alleges they stole cash in the money glitch. the biggest examples of fraud with pop ties to organized crime organizations. among the biggest cases involving the texas man who owed more than $240,000, and a florida man who owes more than $400,000. this is different from the potential criminal case that they're pursuing. >> tell me what happened here, were people depositing bog news checks, drawing the funds before jpmorgan chase had time to clear the check or find out it was fraught lent? >> that's exactly what happens. normally what happens, you deposit the check and it's tranched, you get a couple backs of access and later -- >> on a big check. if it's a check of $75, they adopt tranche it that way. >> and it's different for every person, but for a glorious few days in august, a person could dep

lauren: tsmc told the market the latest boomers sustainable. and the billionaire investor. big mistake. stuart: what about elements health? >> they cut the profit forecast, the latest biomedical costs, down 13%. lauren: combination covid 19 and flew vaccine. one person received a shot an earlier trial reported nerve damage looking at 1% decline afternoon. stuart: thanks. nearly every republican senate candidate is tying themselves to donald trump but senate democrat candidates keeping their distance from kamala harris. aishah hasnie is in detroit. is harris a drag for democrats down ballot? >> reporter: in the final couple of days it is a race to the middle in battleground states. there's an idea that harris is not center enough. in battleground michigan both of these candidates will be campaigning. alyssa slotkin who is running against mike rogers is supporting vp harris that the vp is underwater in this state. watch her dodging a question about how helpful harris, at the top of the ticket as opposed to biden. >> it was a seachange at the top of the ticket but now that we

even recently bloomberg was reporting that may be four way was getting chips from tsmc through a carveut. so there is still leakage in the export controls and this is something the biden is looking to address. ed: gerard dipippo from bloomberg economics. just incredible. early appreciate it. let's stick with china. look at shares of pdd, the parent company of temu. the merck is reporting that the european union is looking at particular in activity in that jurisdiction related to counterfeit goods, but also lower-priced goods. check out that report on bloomberg.com and the bloomberg terminal. we will be right back. this is "bloomberg technology." ♪ caroline: time now for talking tech. up first, x ai is seeking funding. the company's valuation was $24 billion, including the $6 billion raised during its last funding round in may. musk said his aim was to double ai's access to computer. openai is working with broadcom to develop a custom chip focused on running ai models. the chips will run software that responds to user requests and is expected to be in some high demand. apple again this

so among the stocks we're tracking in the asia pacific today are asml's customers, tsmc, its pierce like tokyo electron seeing declines almost 10% into the lunch break. and another of its suppliers also seeing those losses. it didn't help that we actually saw some concerns abthese u.s. chip cups, potentially getting tougher as far as sales are concerned. overnight we saw how nvidia, the philadelphia semiconductor index also took a hit. let's take a closer look at what we're seeing aamong some of these chi neaz stocks because the once that are rallying are these developers listed in hong kong. we have news of yet another briefing coming out of china. this one tomorrow. we're going to hear from the housing ministry along with the pboc. it's expected to potentially give details on property support measures but note here, these measures, the news of it, have been coming in bits and pieces. you wonder does this cut it for investors, especially when you get reminders of weak chinese demand and how that's reflecting even in the sales of lvmh that luxury retailer, and this offshore concern also

from the typhoon which will likely hit the west coast, home of the heavy industry, manufacturing and tsmc. coming up, m&a news. we speak with directv ceo bill morrow as the company set to merge with dish, creating the largest pay-tv provider in the u.s. this is "bloomberg technology." ♪ ring. think about it. boring is the unsung catalyst for bold. what straps bold to a rocket and hurtles it into space? boring does. boring makes vacations happen, early retirements possible, and startups start up. because it's smart, dependable, and steady. all words you want from your bank. for nearly 160 years, pnc bank has been brilliantly boring so you can be happily fulfilled... which is pretty un-boring if you think about it. ♪ (upbeat music) ♪ an ever-changing landscape comes with challenges. from our vantage point, we see opportunities. as a top-ten real estate manager, principal asset management harnesses the power of a 360° perspective, delivering local insights and global expertise across public and private equity and debt. our experienced teams are uniquely positioned to uncover compelling oppor

was good but the chip sectors within asm l were under pressure and thankfully tsmc and nvidia reiterateddemand is really good this is a company that is great and all of the chipmaking segments really under pressure. >> asm has had a terrific run. >> yes until a week ago the surprise report that really taken down and brought down the rest of the chipmakers early last week. >> ups another down i cannot believe it because of an ongoing. >> we hear a downgrade trend underway from barclays lucian risks to the earnings that we're going to get as well as competition from amazon, we talked how amazon is almost a freight company it away not so much just a retail company, some risks may be to the competition. >> bitcoin $68000, 677, how are the other crypto's doing. >> the predicted market is jumping more in favor of a donald trump presidency, donald trump has been seen as a crypto friendly president so you get mixes and looks like overall crypto traditional crypto place to the downside but they've had a really good run with overall bitcoin nearing 71-point stuart: gold hitting a new record high,

two heavyweights in terms of chip fabrication and the home to the big chip heavyweight fabricators, tsmcnd samsung, also aslm's biggest customers. the stocks really not falling off a cliff. most selling off by more than 2% by the close here this wednesday afternoon. really the big loser, you have to head to japan. one stock that took a hit harder than most is tokyo electron it's that bleak sales forecast. it will not be as roy bust as initially thought. that's going to hit tokyo electric harder than other chipmaker. you saw other losses dwarfing. softbank for instance. in the chinese markets you saw it hit hard. the indices falling. there's one bright spot. the housing ministry of china will be holding a house conference tomorrow. there might be stimulus for the battered housing properties. you have to make sure you treat this with caution. it's not the first time we've been disappointed by the lackluster stimulus. it could turn into wishful thinking. that's the one bright spot, but so far stocks across asia selling fast. tokyo electron, probably the biggest laggard at the wednesday clos

should taiwan continue to allow semiconductor manufacturers like tsmc to build factories overseas?taiwan also needs to rely on advanced countries ram new technologies and equipment. i often say the government has responsibly to industries and taiwan has responsibility to the world. >> mr. trump also said taiwan should increase military spending to 10% of gross domestic product. i wonder if that is possible in your view. >> time one a very large neighbor with significant ambitions toward it, so taiwan must take responsibility for our sovereignty and national security. in next years budget, we have allocated more than 640 billion taiwan dollars for defense, this will bring our defense spending to 2.6% of gdp. while we cannot allocate 10% of gdp to defense in one go, we have increased the budget compared to the past. we hope the world will recognize taiwan's determination and provide greater support. we are maintaining not only taiwan's security but the peace and stability of the entire indo-pacific region. >> you mentioned artificial intelligence earlier. and given the importance of

you like tsmc, which manufacturers chips for just about everybody, including apple, nvidia, amd. like asml, that makes the highest end equipment for building these really advanced chips. maybe people can get these names on sale. why do you like that particularly when there are these questions about the stability of demand going forward? >> well, we love the semiconductor equipment companies because they're picks and shovels to any end market. so you can be very agnostic. these are the companies that are benefiting. you're getting these companies at a little bit of discount, because people are worried about intel's cap ex coming down in the case of asml and worried about sanctions with china. but what matters is the end demand of ai and these are companies who have no com competitors. so we love this as a way to play the big mega trends. >> finally, lee, post halloween, we're about to get a lot of focus on retail as q4 turns towards the holidays. you like some ecommerce names, or at least one after ebay and etsy didn't wow a lot of folks. >> i'm kind of in the pick ax world when i

according to reuters, the chatgpt maker is working with san jose's broadcom and tsmc of taiwan for the in house chips. the chips could be ready as soon as the year 2026. that report also says openai is using chips from santa clara's amd to train its ai. sources tell reuters. openai is trying to solve the shortage of nvidia chips, which dominate the artificial intelligence market. well, plans have been unveiled to build a five story affordable housing complex at the site of the ghost ship warehouse in oakland's fruitvale district. that warehouse burned down back in 2016, in a tragic, deadly fire. these renderings here show what it could look like in the future. the complex will be built over an empty lot and have two existing buildings. now, the proposed building would be 60ft tall, about 76,900ft!s, with 71,000ft!s dedicated for housin. the building would offer 58 units for households that earn up to 80% of the area median income. it's part of the nonprofit organization's efforts to revitalize the fruitvale neighborhood. >> sad news from the 40 niners defensive back charvarius ward ann

that company, tsmc, is the world's largest producer of advanced chips.di, two of the stocks that are gaining ground today, and as we take a live look at the markets, the dow jones up 134 points, a third of a percent, the nasdaq gaining about a quarter of a percent, and the s&p 500 up about the same as well. consumer advocates are accusing two of the nation's largest grocery chains of trying to drive up prices. walmart and kroger have been testing digital price tags, which can abruptly change prices. critics believe the grocers will eventually use surge pricing like uber and tickets for sporting events. prices go up when demand is high, prices drop when there isn't much interest. some senators are also worried that kroger will use facial recognition to pick out shoppers and target them with specific ads. kroger is still trying to buy albertsons and its subsidiary safeway, but that deal is facing antitrust issues. well, the first test for the new ceo of starbucks may be staffing levels, according to bloomberg, an internal starbucks survey found only 33% of

nvidia, tsmc, apple, intel.irection is wolfspeed, after securing $750 million in chip saked money and an additional $50 million from -- $750 million from apollo and investors. the ceo, aggrgreg lowe, saying production of capital will speed up production. we are watching them surge but short interest at 31% in this name, scott. >> thank you. soma modi. phil lebeau, tell us what we need to watch out for more than anything else with united. >> scott, three things we're going to be looking for. first of all, did the airline see positive revenue per seat mile growth? we know it's improving as the industry is ticking out capacity. what are they seeing for holiday bookings? and with regard to the industry capacity, how much has come out of the system and what does that mean for fourth quarter? just a reminder as you look at shares of united over the last three months, what a tear they've been on since early august. the expectation is to earn 317 in the third quarter. tomorrow morning on "squawk on the street" don't mis