US stocks, Nvidia shares steady after Chinese AI shock [Video]

US stocks and shares in chip-making giant Nvidia on Tuesday clawed back some of their losses following a sell-off triggered by the sudden success of Chinese artificial intelligence firm DeepSeek.

US tech shares tanked Monday, with Nvidia tumbling 17 percent, after China’s DeepSeek unveiled its R1 chatbot, which can apparently match the capacity of top US AI products for a fraction of their development costs.

Nvidia, which designs chips used in AI applications, was up 2.8 percent in late morning trading, though still well below last week’s levels.

The tech-heavy Nasdaq index was up around one percent after dropping more than three percent the previous day. The Dow and the wider S&P index were also higher, though lagging behind the Nasdaq.

Elsewhere, European stock markets were mixed while oil prices inched up, as traders awaited interest-rate decisions from the US Federal Reserve and European Central Bank due this week.

Nvidia’s …