Shares of semiconductor stocks Taiwan Semiconductor Manufacturing (NYSE: TSM) , Nvidia (NASDAQ: NVDA) , and Skyworks Solutions (NASDAQ: SWKS) were rising on Tuesday, up as much as 3.4%, 4.6%, and 2.2%, before settling into gains of 2.7%, 4%, and 0.6%, respectively, as of 1:42 p.m. ET.
The sector-wide optimism was helped along by a positive note from Bank of America semiconductor analyst Vivek Arya this morning, along with continued optimism over moderating inflation and the broader economy.
In a note this morning, Arya wrote that he sees the potential for a "soft landing" in the semiconductor space. As interest rates have risen sharply over the past year, recession fears loom, and consumer electronics sales have plummeted at an historic rate , many fear a large decline in semiconductor sales in 2023.
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Why Semiconductor Stocks Taiwan Semiconductor, Nvidia, and Skyworks Solutions Rallied Today