Stock Movers TSMC ADRs Drop, PepsiCo Rises, Caterpillar Falls on Tariff Outlook
Sep 2, 2025
TSMC is feeling the pain as the US pulls its authorization for essential gear shipments to China, leading to a stock dip. Meanwhile, PepsiCo is on the upswing after activist investor Elliott Investment Management stakes a claim, promising some exciting changes ahead. On the flip side, Caterpillar's shares are sliding as analysts grapple with the repercussions of potential tariffs on its business. The turbulence in the market highlights the intricate web of global trade and investor reactions.
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TSMC VEU Revocation Risks Production
- The U.S. revoked TSMC's blanket VEU authorization for its Nanjing plant, forcing suppliers to seek individual export approvals.
- This step can curtail older-generation chip production and reflects rising trade and tech tensions with China.
Reporter Reflects On Deglobalization
- Isabel Lee compared the U.S. move to prior revocations for SK Hynix and Samsung to show precedent.
- She reflected on growing trade barriers and a shift away from globalization she grew up with.
Elliott's Stake Could Trigger Strategic Review
- Elliott Management built about a $4 billion stake in PepsiCo and signaled plans to press for change.
- Markets reacted positively as investors hope activist pressure will unlock value and possibly a breakup of snacks and beverages.