Chip stocks rose Tuesday, extending Monday's gains following a rout sparked by President Donald Trump’s sweeping tariffs and China’s retaliatory measures .

Nvidia's ( NVDA ) stock price surged over 6% in early trading. Broadcom ( AVGO ), Intel ( INTC ), Micron Technology ( MU ), Lam Research ( LRCX ), Applied Materials ( AMAT ), and other semiconductor stocks were also higher.

Shares of Taiwan Semiconductor Manufacturing Company ( TSM ), the world's largest chip manufacturer, climbed 2%. Trump's “reciprocal” tariffs on imports from Taiwan of 32% are among the highest in Asia.

Until Monday, chip stocks had taken a hit even as they were excluded from the levies as investors worried that a global downturn would hurt demand .

The chip stocks are gaining against a backdrop of a global stock rebound Tuesday, as investors weigh the latest tit-for-tat tariff pledges by the U.S. and China. China has said it would hit back further if Trump increases U.S. import tariffs . (Read Investopedia's live coverage of today's market action here .)

UPDATE—April 8, 2025: This article has been updated since it was first published to reflect more recent share price values.

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