Fear gripped Wall Street today on fears that the artificial-intelligence tech giants that have propelled the US stock markets to dizzying heights are under threat from a previously little known Chinese competitor called DeepSeek.In early trading the S&P 500 was down 1.6% with big tech stocks taking the worst of a battering which analysts feared could see $1 trillion £800 billion) knocked off share values. At one stage AI giant Nvidia was 11.2% lower - its largest ever daily decline - helping to drag the tech heavy Nasdaq index down 3.6%, its biggest fall since September. The Dow Jones Industrial Average, which has more of an emphasis on “old economy” stocks, was holding up better with a dip of just 123 points, or 0.3%.
Category
🗞
NewsTranscript
00:00So, we've seen today this absolutely incredible sell-off in the US stock markets, led by the
00:06tech stocks and the AI stocks, but huge companies like NVIDIA, for example, the world's biggest
00:12company, being massively sold off today, estimates that the global market sort of lost around
00:19a trillion dollars, that's about 800 billion pounds in value, just in trading today.
00:26It's astonishing.
00:27It's all been triggered by fears that the Chinese, specifically the Chinese tech company
00:35DeepSeek, which has developed its own kind of version of ChatGVT, a generative AI app
00:43at a fraction of the price of what the Americans have developed over recent years, and fears
00:50that this may prove more successful, cheaper than its American counterparts, have thrown
00:57an absolute spanner into the entire works of the American investment community.
01:03The assumption had always been that America had a march on China and the rest of the world
01:07on AI, which is obviously going to be the next great industrial revolution.
01:11So this potentially changes everything.
01:15Maybe the Americans don't have that advantage that they assume they did.
01:18Maybe the Chinese have stolen a march on them, and this has huge implications for investment
01:25markets around the world and broader geopolitics as well.
01:29Do keep up with the latest news on what's going to be a very major and fast-moving story
01:34this week, I suspect, on standard.co.uk.