Nvidia stock was rising Thursday, on track for another record high. TSMC earnings appears to be boosting shares.

U.S.-listed Taiwan Semiconductor Manufacturing Co. shares are jumping 8% in premarket trading after the chipmaker posted robust quarterly earnings and projected a buoyant outlook on the back of the artificial intelligence (AI) boom.

U.S. chip stocks rose before the bell on Thursday after industry bellwether TSMC's strong sales forecast fanned investor optimism about demand for processors used to power artificial intelligence applications.

Key Takeaways Chip stocks rose Thursday after the world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing Co., reinvigorated Wall Street’s AI enthusiasm. Better-than-expected quarterly results and a rosy financial outlook powered its shares higher,

On October 17, an increasing trend was seen in US chip stocks. This happened after TSMC released a sales forecast which gained investors’ attention about the demand for processors. These in-demand processors are used to power AI applications.

Shares of US chipmakers surged before Thursday’s market open, driven by a positive sales forecast from Taiwan Semiconductor Manufacturing Co. (TSMC). The world’s largest contract chipmaker raised its annual revenue growth expectations and highlighted that AI chips will contribute a significant portion of its full-year revenue,