Apple-Intel US Chip Pact May Strain AMD’s TSMC Capacity; ETFs Surge
AMD•The Vanguard U.S. Momentum Factor ETF has gained 24% in 2026 by systematically buying stocks with positive 12-month price momentum. Apple’s new agreement with Intel to design and build chips in U.S. plants may tighten TSMC capacity, potentially disrupting AMD’s processor production timelines.
1. ETF Momentum Fund Outperformance
The Vanguard U.S. Momentum Factor ETF has posted a 24% total return year-to-date in 2026, more than double the S&P 500’s performance, by targeting stocks showing sustained upward price trends over the past 12 months.
2. Rules-Based Stock Selection
The ETF employs an algorithmic approach that ranks U.S. equities across sectors by 12-month relative price strength and rebalances monthly to capture momentum without discretionary stock selection.
3. Apple-Intel U.S. Chip Partnership
Apple has agreed to collaborate with Intel on designing and manufacturing chips in U.S. facilities, aiming to diversify its supply chain beyond Taiwan Semiconductor Manufacturing Company and secure additional production capacity.
4. Implications for AMD Supply Chain
The expansion of U.S. chip production and increased Intel output could intensify competition for advanced wafer capacity at TSMC, potentially impacting AMD’s production schedules and delivery timelines.
