GLOBAL MARKETS-Tech stocks buoy Wall Street, safe havens wane on Iran de-escalation

TSMC record profit boosts tech sector

BlackRock, banks deliver strong earnings

Trump says Iranian crackdown easing

Oil and gold retreat from previous days’ highs

Trump Says he has no plans to fire Fed’s Powell

(Updates prices to 10.50 a.m. ET)

By Isla Binnie and Amanda Cooper

Jan 15 (Reuters) - Blockbuster results from chipmaker TSMC (2330.TW) bounced Wall Street higher after two days of losses on Tuesday, while oil and gold fell off recent highs as demand for safe-haven assets subsided on signals U.S. President Donald Trump might be less inclined to take immediate military action against Iran.

Taiwan’s TSMC (2330.TW) , the world’s biggest producer of advanced AI chips, posted a forecast-smashing 35% jump in fourth-quarter profit, sending its U.S.-listed shares to a record high.

The rising tide lifted Dutch chip equipment maker ASML (ASML.AS) , a major TSMC customer, which in turn pushed European shares (.STOXX) back towards record levels.

Trump’s decision to allow Nvidia (NVDA.O) to sell some AI chips to China “is another plus for the market”, said Peter Cardillo, chief market economist at Spartan Capital Securities in New York.

The Dow Jones Industrial Average (.DJI) rose 0.54% to 49,413.99, the S&P 500 (.SPX) rose 0.49% to 6,960.62 and the Nasdaq Composite (.IXIC) rose 0.59% to 23,610.95.

Financial firms joined the earnings party. Investors rewarded BlackRock (BK.N) for a beat to analyst forecasts with a 4% rise in the global asset management leader’s share price.

Goldman Sachs gained more than 3% after reporting rising revenues, although the stock suffered early on due to investment banking fees falling slightly short of forecasts. Fellow investment bank Morgan Stanley’s stock (MS.N) rose after beating profit estimates.

“We are at the very beginning of the earnings season and so far so good,” Cardillo said.

IMMEDIATE RISK SOFTENS

Oil prices fell further after gaining earlier this week when Trump threatened intervention in Iran, a member of the Organization of the Petroleum Exporting Countries, in response to a deadly government crackdown on protests there.

Trump said on Wednesday he had been told killings were easing and there were no plans for large-scale executions.

“While the situation remains fragile, the immediate risk premium has softened but is unlikely to go away given the continued risk of a disruption,” Saxo Bank analyst Ole Hansen said.

U.S. crude (CLc1) fell 4.34% to $59.33 a barrel and Brent (LCOc1) fell 4.09% to $63.80 per barrel.

Gold, which thrives as a safe haven in geopolitical and economic uncertainty, as well as in low-interest-rate environments, declined.

Its price (XAU=) fell 0.12% to $4,614.22 an ounce, a day after hitting a record $4,642.72.

In an interview with Reuters on Wednesday, Trump addressed his administration’s pursuit of Federal Reserve Chair Jerome Powell, which has been another source of investor consternation.

Trump said he had no plans to fire Powell, who is facing a Justice Department criminal investigation.

“Right now, we’re (in) a little bit of a holding pattern with him, and we’re going to determine what to do. But I can’t get into it. It’s too soon. Too early,” Trump said.

MORE MACRO

Further macroeconomic news showed U.S. unemployment benefits unexpectedly fell last week, pushing up the dollar and making dollar-denominated commodities including gold more expensive for overseas buyers.

The dollar index (=USD) , which measures the greenback against a basket of currencies including the yen and the euro, rose 0.28% to 99.35, with the euro (EUR=) down 0.29% at $1.1608.

Reports on manufacturing in New York State and the Mid-Atlantic region were also stronger than expected.

The robust data slightly dented expectations the Federal Reserve will cut interest rates in the short term, pushing U.S. Treasury yields mostly higher.

The benchmark 10-year notes (US10YT=RR) were last yielding 4.16%, from 4.14% late on Wednesday.

Chicago Federal Reserve President Austan Goolsbee said the U.S. central bank should be focused on getting inflation down as there is ample evidence of job market stability.