New York, January 11, 2026, 05:45 EST — Market closed
- Nvidia shares edged down 0.1% Friday, closing at $184.86.
- Supplier TSMC reported a 20.45% jump in fourth-quarter revenue and plans to share its outlook on Jan. 15. Reuters
- Nvidia kicked off CES week by unveiling new partnerships designed to lower costs and accelerate the rollout of autonomous vehicles. Reuters
Nvidia (NVDA.O) starts the week with its shares hovering close to Friday’s finish. Investors are waiting for clearer signs on AI-chip demand and supply as mid-January approaches.
Taiwan Semiconductor Manufacturing Co (2330.TW), a major chip supplier to Nvidia, posted fourth-quarter revenue of T$1.046 trillion ($33.11 billion) on Friday. That’s up 20.45% year-over-year and beats the LSEG SmartEstimate of T$1.036 trillion. TSMC said it will update guidance during its earnings call on Jan. 15. Reuters
Why it matters now: chip stocks are once again driving U.S. indexes higher, with Nvidia right at the heart of the action—even on days it’s not the top mover. The S&P 500 closed at a record high on Friday, while the PHLX semiconductor index (.SOX) surged 2.7%, also hitting a record. This came after a U.S. jobs report that kept hopes alive for rate cuts. Reuters
“On the overall AI theme, investors are zeroing in on specifics, sorting winners from losers,” said Zachary Hill, head of portfolio management at Horizon Investments. He noted the market is moving toward proof of monetization over broad enthusiasm. Reuters
Beyond its core data-center business, Nvidia spent CES week pushing itself as more than just a chipmaker for autonomous driving. The company unveiled a next-gen platform set to power a robotaxi alliance involving Lucid (LCID.O), Nuro, and Uber (UBER.N). Meanwhile, Mercedes-Benz announced plans to roll out a new driver-assistance system in the U.S. later this year, capable of autonomous city driving under driver supervision. Reuters
Ozgur Tohumcu, general manager for automotive and manufacturing at Amazon Web Services (AMZN.O), described AI and generative AI as “a big accelerant,” highlighting their potential to slash resources needed for development and validation. But Infineon (IFXGn.DE) CEO Jochen Hanebeck cautioned against “market fantasy” around fully self-driving cars becoming widespread in just a few years. Reuters
Automotive still represents a long-term opportunity for Nvidia shareholders—that’s the key takeaway. Investors have mainly focused on data-center demand, capacity limits, and the spending patterns of Nvidia’s largest clients, showing little tolerance for areas that require years to develop.
Many hurdles remain. Autonomous driving has a history riddled with delays and cost overruns, with the sector divided between firms that develop technology internally and suppliers providing essential components. Should these partnerships fail to convert into lasting production projects, they risk fading into just conference-week buzz, while valuations remain vulnerable to shifts in interest rates and growth expectations.
Traders are set to focus on TSMC’s earnings call on Jan. 15, looking closely for any changes in capex plans, capacity outlook, or commentary on AI-driven demand — updates from this key supplier often ripple through the entire chip sector, Nvidia included. Reuters
