New York, Jan 15, 2026, 10:57 EST
- After slipping for two days, U.S. stocks bounced back, boosted by gains in chipmakers and major banks
- TSMC projects revenue will climb nearly 30% in 2026; chip equipment stocks surge
- Jobless claims dropped to 198,000, fueling investor confidence in rate cuts
Wall Street’s main indexes bounced back Thursday following two straight days of losses, buoyed by a chip rally fueled by Taiwan Semiconductor Manufacturing Co’s positive outlook and fresh U.S. financial results. At 9:34 a.m. ET, the Dow Jones Industrial Average climbed 146.42 points, or 0.30%, the S&P 500 added 40.50 points, or 0.58%, and the Nasdaq Composite rose 197.64 points, or 0.84%, with Nvidia and chip-equipment stocks leading the gains. Financial shares faced pressure this week amid concerns over a proposed one-year cap on credit card interest rates at 10%, even as markets continue to price in at least two Federal Reserve rate cuts by year-end, according to LSEG.
The early rebound arrives as investors wrestle with whether 2026 will be another year ruled by tech or take on a more diverse shape. Since late October, the equal-weight S&P 500—which treats every stock equally—has outpaced the standard index. Edward Jones strategist Angelo Kourkafas noted the market is searching for a “true broadening of leadership” beyond just the biggest tech names. Reuters
TSMC’s fourth-quarter profit soared 35% to a record high, with the company projecting nearly 30% revenue growth in 2026 measured in U.S. dollars. The boost comes amid what it describes as an “AI mega trend” fueling demand for capacity. Capital expenditure is expected to hit $52 billion to $56 billion, though CEO C.C. Wei admitted feeling “very nervous” about spending at that scale. Ben Barringer of Quilter Cheviot noted that “TSMC ultimately benefits” as chipmakers battle for market share. Reuters
Optimism carried over into U.S. chip stocks and their equipment suppliers, areas traders watch closely for early signs of a genuine AI expansion.
Morgan Stanley’s profit topped forecasts as investment banking staged a comeback, with fourth-quarter revenue from that segment soaring 47% thanks to boosted dealmaking and debt underwriting. CFO Sharon Yeshaya told Reuters the firm is witnessing “an accelerating pipeline in M&A and IPOs,” referring to mergers and acquisitions and initial public offerings. CEO Ted Pick highlighted ongoing geopolitical risks and described the macroeconomic environment as “complicated.” Reuters
Goldman Sachs beat expectations, driven by strong deal fees and a jump in trading revenue, with equity revenue hitting a record high. “The stock has been on a tear,” noted Gerard Cassidy from RBC Capital Markets, adding that while the results cleared a tough hurdle, they didn’t exceed it by much. Reuters
BlackRock’s profit in the fourth quarter jumped well beyond Wall Street expectations, boosted by a market rally that lifted fee income and pushed assets under management to an all-time high of $14.04 trillion. CEO Larry Fink described the start of 2026 as a period of “accelerating momentum,” with the firm responding by raising its dividend and expanding its share buyback program. Reuters
Weekly jobless claims dropped 9,000 to a seasonally adjusted 198,000, according to the Labor Department. Continuing claims also slipped, down to 1.884 million. Oxford Economics economist Nancy Vanden Houten described the data as showing “stable labor market conditions” but cautioned that year-end seasonal adjustments have made the figures somewhat noisy. Reuters
Oil prices slipped, dragging the energy sector down. Investors balanced their focus between upcoming earnings reports and Fed officials’ comments for clues on the timing of rate cuts.
The downside scenario is clear. If the credit card rate-cap talks tighten, banks could stay volatile. A slowdown in AI investments would quickly drag down chipmakers — even TSMC’s Wei has cautioned against overly aggressive spending. On top of that, hotter inflation data or a Fed that’s less dovish than expected would put pressure on tech valuations, which still appear stretched in some areas.
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