ASML & TSMC

ASML: ASML is the central entity; raised guidance and strong Q2 results driven by AI demand, boosting its market cap and production plans.

TSMC: TSMC is a key customer of ASML, benefiting from increased chip demand for AI.

ASML: ASML is set to report earnings; its stock is sensitive to AI demand and chip sector sentiment, which is under pressure.

TSMC: TSMC reported strong June revenue growth but its U.S. shares fell 2.3%, as the AI optimism was tempered by geopolitical risks.

ASML: Fell 4% in European Union — European trading; reported higher profit but stock fell.

TSMC: Fell up to 7.3% in Taipei; reported stronger profit but stock fell; announced $100B extra U.S. fab spending.

ASML: ASML is the dominant supplier of lithography equipment and the primary competitive benchmark. The news of China's homegrown DUV machines triggered a share price decline, but analysts see limited near-term impact due to ASML's technological lead and China's low yields.

TSMC: TSMC, another ASML partner, is not directly affected by China's DUV machines. The event highlights China's progress but does not alter TSMC's competitive position in the near term.

ASML: ASML supplies EUV lithography equipment to SK Hynix for advanced chip manufacturing, benefiting from the company's capacity expansion.

TSMC: TSMC's US listing is cited as an example of a successful Asian issuer tapping US investors.