Stocks slide on Chinese AI threat [Video]

European and Asian stock markets mostly slid Monday and Wall Street was forecast to open sharply lower on talk that a cheaper Chinese generative AI programme can outperform big-name rivals, notably in the United States.

President Donald Trump’s threat to impose huge tariffs on Colombia in retaliation for its refusal to accept deportation flights from the United States was also unsettling markets.

The fear is that Trump could go full throttle also with tariffs planned for China and other major trading partners.

“US markets are likely to take centre stage today as a slump in the tech sector puts pressure on wider markets,” noted Joshua Mahony, analyst at traders Scope Markets.

– Eyes on DeepSeek –

Wall Street already took a hit Friday following the launch of the Chinese DeepSeek artificial intelligence programme last week.

The firm said only $5.6 million was spent developing the model.

The programme’s arrival has sparked competition fears, as US …