GPUs Account for 70% of Cost in Nvidia's AI Supercomputer

Not a direct catalyst for TSM; the news highlights that GPU cost dominates in Nvidia's AI systems and indirectly supports TSMC's advanced packaging/production demand. However, the stock is already in oversold territory (RSI 28.5) and MACD is negative, with price below SMA20/50; short-term bounce buying may come, but the trend is weak. The news impact may be limited and priced in; I expect a neutral bias over 1-3 days. Still, if risk appetite deteriorates, downward pressure could persist.

The news highlights that 70% of the cost in Nvidia's AI supercomputers goes to GPUs; this can be perceived as a factor confirming Nvidia's pricing power and high margins. However, the news does not contain new information and is already known by the market; therefore, its short-term impact may be limited. Technical indicators are weak: the price is below the 20 and 50-day moving averages, RSI at 34 is close to oversold, and MACD is negative. This outlook suggests that downside risk continues in the short term, but the positive tone of the news may limit the decline. In conclusion, the news alone is not sufficient to provide direction; due to the current technical weakness, I maintain a neutral stance.

The news highlights that 70% of the cost in Nvidia's AI supercomputers goes to GPUs; this could indirectly affect AMD's competitive position in the GPU market, but it is not a direct catalyst for AMD. Technical indicators are mixed: RSI is neutral around 50, MACD is slightly negative below the signal line, and the price is just below the SMA20 and above the SMA50. The 0.8% decline in the last 24 hours is limited. The news is not expected to create a clear direction for AMD in the short term; the current technical outlook also supports a sideways trend. Therefore, the 1-3 day impact is considered neutral.