TSMC Exceeds Expectations Backed by AI Boom
TSMC Reports Record Quarterly Revenue Driven by Surging AI Chip Demand

Contents
TSMC

USA

Trump

TSMC

TSMC Beats Expectations with Record Quarterly Revenue Amid AI Boom
Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker, reported strong quarterly revenues that exceeded expectations, fueled by growing demand for its chips amid the rapid expansion of artificial intelligence technologies.

Revenue for the second quarter of this year rose by 38.6%, reaching NT$933.8 billion (approximately US$31.9 billion),
up from NT$673.51 billion in the same period last year. These results surpassed analysts’ average forecast of NT$927.8 billion.

The revenue also exceeded the company’s target range announced in April, which stood between US$28.4 billion and US$29.2 billion,
reflecting performance stronger than previous estimates.

TSMC, whose major clients include NVIDIA, is expected to release its full Q2 financial report on July 17,
along with its forecasts for the third quarter and the full fiscal year.

USA

U.S. Treasury Sells 10-Year Bonds at 4.362% Amid Inflation Data Anticipation
The U.S. Department of the Treasury announced the results of its 10-year bond auction,
selling $39 billion in bonds at a high yield of 4.362%, the highest accepted yield among winning bids in the auction.

This new issuance will mature on May 15, 2035, priced at $99.101876 per $100 face value,
with a 4.25% annual coupon rate.
The bid-to-cover ratio—a measure of demand—stood at 2.61x, indicating solid, though not exceptional, investor interest.

The high yield serves as a key benchmark for the U.S. government’s borrowing cost and reflects market expectations regarding future inflation and Federal Reserve monetary policy.

Notably, 10-year bond yields are a crucial reference for determining interest rates across the U.S. and global economy,
affecting corporate financing, mortgage loan rates, and other credit instruments.

This auction comes as markets await pivotal U.S. economic data, particularly concerning labor and inflation,
which could directly influence the Fed’s interest rate decisions for the rest of the year.

Trump

Trump Imposes 50% Tariff on Brazilian Imports Over Bolsonaro Trial and Trade Relations
On Wednesday, U.S. President Donald Trump announced a new 50% tariff on imports from Brazil,
describing it as a direct response to what he called a “very unfair trade relationship” between the two countries and a political punishment linked to the ongoing trial of former Brazilian President Jair Bolsonaro.

The move marks a major escalation from the previous 10% tariff imposed by the U.S. in April.
In an official letter addressed to current Brazilian President Luiz Inácio Lula da Silva,
Trump framed the decision as part of a broader campaign of targeted tariffs sent to leaders of various countries,
imposing stiff duties on their exports to the U.S.

What stands out in this message is its unusually tough stance, directly linking U.S. trade policy to the domestic legal affairs of a foreign nation—in this case, the judicial proceedings against Bolsonaro.

The move highlights Trump’s willingness to use tariffs as both political and economic leverage,
potentially increasing diplomatic tensions between Washington and Brasília in the coming period.

Exceeds Expectations Backed by AI Boom

TSMC Exceeds Expectations Backed by AI Boom

Related Topics