Impact of DeepSeek on the Stock Market

The recent introduction of DeepSeek, a Chinese AI model, has had a significant effect on the stock market, particularly impacting tech stocks like NVIDIA, which saw a notable decline. This event is seen as a potential signal that the AI landscape is evolving rapidly, suggesting that the growth momentum of AI is accelerating rather than peaking. The rollout of DeepSeek has raised concerns about which companies will effectively capture the value generated by AI advancements, challenging previously held assumptions about the dominance of established players like NVIDIA. This shift emphasizes that the AI wave is building quickly and could lead to larger market fluctuations as new technologies emerge.