Wall Street edges lower after inflation data and ahead of Nvidia earnings - Seeking Alpha

On August 26, 2026, U.S. markets experienced a general decline amid a wave of economic data and ahead of NVIDIA's earnings report. The inflation data influenced investor sentiment, with markets reacti... Read original →

Inflation data triggered market reassessment of Federal Reserve policy expectations, directly impacting semiconductor valuations. NVIDIA's earnings will be a critical inflection point, with strong AI chip demand supporting stock performance, yet 3nm production constraints may limit TSMC's long-term competitiveness. Technologically, EUV equipment supply chains face increasing geopolitical pressure, especially for manufacturers in China Taiwan/ Taiwan, China. In competitive dynamics, NVIDIA may leverage pricing power to protect margins, while TSMC must accelerate advanced process investments. Over the next 12-24 months, sustained AI compute demand will drive semiconductor capex growth, though inflation and policy uncertainty remain key downside risks.