Nvidia Stock Erases Loss as TSMC Produces First ‘Wafer’ for Blackwell Chips on US Soil
Oct 20, 2025 07:17:00 -0400 by Adam Clark | #ChipsNvidia CEO Jensen Huang has built the company into the favored provider of artificial-intelligence chips. (HWA CHENG/AFP via Getty Images)
Key Points
- Nvidia shares rose 0.8% in morning trading, driven by optimism regarding the artificial intelligence boom and progress in U.S. manufacturing.
- Nvidia’s key supplier, Taiwan Semiconductor Manufacturing, produced the first wafer for Nvidia’s Blackwell chips on U.S. soil.
- Other chip makers also saw gains, with Advanced Micro Devices up 2.4% and Broadcom rising 01% in morning trading.
Nvidia was edging up on Monday. Cautious optimism about the artificial-intelligence boom and progress in its U.S. manufacturing plans look to be helping the stock.
Nvidia shares were up 0.2% after dropping as much as 0.8% in early trading..
The stock closed up 0.8% on Friday but is down 2.7% over the past five days as debate continues to rage over whether there is a “bubble” in AI investment.
“The current environment has similarities with past bubbles—notably, a potentially transformative technology, huge amounts of investment and high expectations,” wrote Richard Flax, chief investment officer at Moneyfarm, in a research note on Monday. “But it’s worth noting that underlying demand looks robust, profitability remains high and most of the listed businesses investing in the new technology are highly cash generative.”
One benefit for Nvidia could be that it looks likely to be shielded from tariffs due to its investment in American manufacturing. Nvidia said late on Friday that its key supplier Taiwan Semiconductor Manufacturing had made the first wafer —the base material for semiconductors—for Nvidia’s Blackwell chips to be produced on U.S. soil.
“This is the vision of President Trump of reindustrialization—to bring back manufacturing to America, to create jobs, of course, but also, this is the single most vital manufacturing industry and the most important technology industry in the world,” Nvidia CEO Jensen Huang said in a statement.
Among other chip makers, Advanced Micro Devices was up 2.4% and Broadcom rose 1% in morning trading.
Write to Adam Clark at adam.clark@barrons.com