US stocks rebound sharply on Thursday: Nasdaq up around 1%, S&P climbs 0.6%

• Taiwan Semiconductor jumped 4% after reporting 35% profit growth, lifting other chipmakers including Nvidia (+2%), AMD (+4%), and Micron (+2%) despite earlier concerns over Trump's 25% semiconductor tariff
• Initial jobless claims fell to 198,000, beating estimates of 215,000 and marking the lowest four-week average since January 2024, while manufacturing indices from New York Fed and Philadelphia Fed significantly exceeded forecasts
• The semiconductor tariff includes exemptions for chips supporting US technology supply chain buildout, which investors viewed positively as protecting critical AI and tech infrastructure investments

Market Summary: US Stocks Rebound on Strong Tech Performance

Market Performance:

US equities rebounded sharply on Thursday, January 15, 2026, following consecutive losing sessions. The Nasdaq Composite led gains, rising 0.9%, while the S&P 500 climbed 0.6% and the Dow Jones Industrial Average added 165 points (0.3%). Technology and financial stocks drove the recovery, offsetting concerns about trade policy and geopolitical tensions.

Sector Highlights:

Semiconductor stocks spearheaded the rally after Taiwan Semiconductor reported a 35% profit increase, fueled by strong AI chip demand. The company's shares surged 4%, while Micron Technology gained 2%, Nvidia advanced 2%, and Advanced Micro Devices rose nearly 4%. This rebound followed pressure on chipmakers earlier in the week, particularly Nvidia, which faced restrictions on its H200 chips entering China.

Trade Policy Developments:

President Trump signed a proclamation imposing 25% tariffs on certain semiconductors, but exempted chips supporting US technology supply chain development. Markets responded positively to this exemption, viewing it as protecting critical AI and technology infrastructure investments.

Economic Data:

Strong economic indicators supported the rally. Initial jobless claims fell to 198,000 (week ending January 10), well below the 215,000 estimate, marking the lowest four-week moving average since January 2024. Manufacturing surveys exceeded expectations, with the New York Fed's Empire State Index rising to 7.7 (from -3.3) and the Philadelphia Fed index jumping to 12.6 (from -8.8).

Corporate Earnings:

Morgan Stanley beat earnings estimates, while Goldman Sachs showed mixed results despite topping profit forecasts, reflecting selective investor sentiment as earnings season begins.