TSMC(US:TSM) 2 1 Shi Ji Jing Ji Bao Dao·2025-10-17 00:55Market Overview - On October 16, the A-share market experienced a pullback after an initial rise, with the Shanghai Composite Index up 0.1%, the Shenzhen Component down 0.25%, and the ChiNext Index up 0.38% [2][3] - The total trading volume in the Shanghai and Shenzhen markets was 1.93 trillion yuan, a decrease of 141.7 billion yuan from the previous trading day, marking a drop below 2 trillion yuan for the first time since September 10 [2] - Nearly 4,200 stocks in the market declined, with coal, insurance, and port shipping sectors leading in gains, while precious metals, semiconductors, and wind power sectors saw the largest declines [2] International Market - The U.S. stock market indices fell on October 16, with the Dow Jones down 301.07 points (0.65%), the S&P 500 down 41.99 points (0.63%), and the Nasdaq down 107.54 points (0.47%) [4][5] - In Europe, major indices rose, with the FTSE 100 up 11.34 points (0.12%), the CAC 40 up 111.59 points (1.38%), and the DAX up 90.82 points (0.38%) [4][5] - International oil prices decreased, with WTI crude oil down $0.81 to $57.46 per barrel (1.39%) and Brent crude down $0.85 to $61.06 per barrel (1.37%) [4][5] Key Developments - China's Ministry of Foreign Affairs stated that the newly implemented rare earth export control measures align with international practices and aim to maintain global peace and regional stability [6] - The Ministry of Industry and Information Technology announced a plan to achieve a 70% coverage rate for millisecond latency in urban computing power by 2027, enhancing network infrastructure [7] - The Ministry of Commerce indicated plans to strengthen policy reserves and introduce new measures to stabilize foreign trade, highlighting a positive trend in China's foreign trade despite challenges [8] Commodity Prices - On October 16, gold prices reached new highs, with London gold closing up 2.85% at $4,326.48 per ounce and COMEX gold futures up 3.4% at $4,344.30 per ounce [9] Semiconductor Industry Insights - TSMC reported stronger-than-expected AI demand, raising its revenue growth forecast for 2025 to the mid-30% range and projecting a fourth-quarter gross margin of 59% to 61% [10] - The semiconductor industry is slowly recovering, with storage chip prices rebounding, and investment opportunities are suggested in AIOT, AI innovation, and upstream supply chains [10][11] Nuclear Power Development - The "Linglong One," the world's first land-based commercial modular small reactor, successfully completed cold testing, paving the way for future operations and expected to generate 1 billion kWh annually [12] - The nuclear power sector is gaining attention for investment opportunities, particularly in operators with higher profit margins compared to other segments of the industry [12] Market Sentiment and Recommendations - Analysts suggest that the current market adjustment period is short-lived, with a focus on growth sectors like technology and AI infrastructure, while also recommending attention to cyclical sectors such as military, pharmaceuticals, and new energy [14]