Before ASML Holding (NASDAQ: ASML), a leading manufacturer of advanced chipmaking equipment, released its third-quarter earnings on Oct. 19, investors got two pre-Halloween scares.

First, on Oct. 7, the U.S. Department of Commerce released new rules prohibiting U.S. companies from exporting advanced semiconductor technology to China.

Second, Taiwan Semiconductor Manufacturing (NYSE: TSM), the world's largest manufacturer of advanced chips, said during its Oct. 13 earnings call that it was lowering capital spending in 2023. Since at least 60% of chip manufacturers' capital spending goes toward buying chipmaking tools, Taiwan Semiconductor cutting back on spending was taken as bad news by investors. And ASML's stock dropped approximately 8% on the news.

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Source Fool.com