Emerging-market stocks held steady as Taiwan Semiconductor Manufacturing Co unveiled ambitious spending plans. The world's largest chipmaker's commitment to AI infrastructure sparked a rally in AI-linked shares globally, lifting overall market sentiment despite broader regional uncertainty.

TSMC's investment signals strong demand for advanced semiconductors, a key component in AI hardware. This move reinforces the critical role of chip manufacturing in the tech sector's growth, particularly for emerging economies that supply raw materials and components for the global supply chain.

Investors will now watch for follow-on investments from other major tech firms and the impact on TSMC's production capacity. The spending plans could accelerate the AI adoption cycle, benefiting semiconductor equipment makers and material suppliers in emerging markets over the coming quarters.