Nvidia, Advanced Micro Devices lead chip rally as Schumer says Senate 'moving forward' on bill
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Nvidia (NASDAQ:NVDA) and Advanced Micro Devices (NASDAQ:AMD) led the rally in semiconductors on Thursday as Senate Majority Leader Chuck Schumer said the legislative body was "moving forward" on a bill to aid the chip industry.
"We are moving forward on the Senate CHIPS bill," Schumer said in a tweet. "Itâs going to take aim at the national semiconductor chip shortage, lower costs for American consumers, and boost scientific innovation and jobs." 
Nvidia (NVDA), AMD (AMD) and Qualcomm (QCOM) all gained roughly 2%, while other chip stocks like NXP Semiconductors (NXPI), ON Semiconductor (ON) and Broadcom (AVGO) also rose.
The VanEck Semiconductor ETF (SMH) gained slightly more than 1% on Thursday. 
Conversely, Texas Instruments (TXN), Micron (MU) and Intel (INTC) were fractionally lower in mid-day trading.
Schumer's comments come just a couple of days after the Senate voted 64-34 to advance legislation that some have called Chips-plus, which would give $54B in subsidies to encourage manufacturers to build foundries in the U.S., as well as a new, four-year 25% tax credit.
In a Thursday note to investors, Citi analyst Atif Malik noted that the bill could pass as soon as next week. Malik added that the firm's base case for wafer fab equipment in 2023 is $80B, but it could go as high as $84B if the bill is "funded on time and Tier 1 foundries maintain flat capex."
Earlier this week, House Speaker Nancy Pelosi expressed support for the legislation, calling it "a major victory for American families and the American economy."
Nvidia (NVDA), Qualcomm (QCOM) and AMD (AMD) have recently weighed whether they will oppose the legislation, as it disproportionately benefits manufacturers like Intel (INTC), Micron (MU) and Texas Instruments (TXN).
Wedbush Securities analyst Matt Bryson said this week that AMD (AMD) was his top pick in the semiconductor space.