Heloise Greeff @rubymza: "📊 Market Update: EU Chips..."

United Kingdom

📊 Market Update: EU Chips Act II and the Slow Build-Out of European Industrial Sovereignty The EU is preparing Chips Act II for late May. The most striking change in the draft: Brussels would be able to invest directly in semiconductor fabs, not just channel state aid via member governments. The first Chips Act mobilised significant capital but missed its target of doubling Europe's share of global production as projects were delayed or scrapped. The second version is an admission that the original framework was too indirect to compete with the US and Asia. Zoom out and the broader chip sector is sending mixed signals: ‣ $INTC (Intel) jumped ~19% on a strong sales forecast. ‣ $TSM (Taiwan Semiconductor Manufacturing Co Ltd - ADR) posted a 58% Q1 profit jump, with advanced nodes ~74% of wafer revenue. ‣ $ASML (ASML Holding NV) lifted full-year guidance to €36–40bn. Yet TSMC and ASML both faded after their prints — a reminder that "good" is no longer enough when expectations are this stretched. For our positioning, this remains a watching brief. The structural themes (supply-chain sovereignty, AI capex, European industrial policy) overlap meaningfully with our defence thesis. Discipline first, opportunism second. Patience & discipline, Heloïse (1 May 2026) _________________________________________________________ *𝘊𝘢𝘱𝘪𝘵𝘢𝘭 𝘪𝘴 𝘢𝘵 𝘳𝘪𝘴𝘬 𝘢𝘯𝘥 𝘱𝘢𝘴𝘵 𝘱𝘦𝘳𝘧𝘰𝘳𝘮𝘢𝘯𝘤𝘦 𝘪𝘴 𝘯𝘰 𝘨𝘶𝘢𝘳𝘢𝘯𝘵𝘦𝘦 𝘰𝘧 𝘧𝘶𝘵𝘶𝘳𝘦 𝘳𝘦𝘵𝘶𝘳𝘯𝘴.

Not investment advice. The author may have financial interests in the mentioned instruments.