T&G Market Recap: Nasdaq and S&P 500 Rebound After Tech Sell-Off 📉🔄

Tech stocks rebound with Nvidia leading the charge, while Trump’s tariff talk and AI concerns continue to loom 🧠💬

The Nasdaq and S&P 500 saw a strong recovery on Tuesday after Monday’s steep sell-off, which was triggered by concerns over DeepSeek, a Chinese AI startup that raised fears about the future of US dominance in AI. Here's how the market performed:

• Nasdaq surged over 2%, bouncing back from a 3% decline the previous day.

• Nvidia (NVDA) led the recovery, surging nearly 8%, as it tried to recover from the record $589 billion loss in market cap on Monday.

• S&P 500 gained more than 1%, while the Dow Jones rose 0.4%.

The initial market drop was fueled by the announcement from DeepSeek, which claimed its AI model was more efficient and cheaper than US models. This raised concerns about the valuation of US tech stocks and the sustainability of AI-driven growth.

Nvidia’s 7% Surge Sparks Market Rebound 🖥️🔋

• Nvidia was the star of the day, climbing nearly 8% after Monday’s brutal sell-off.

• The company had lost nearly $589 billion in market cap the previous day due to fears that DeepSeek's cheaper AI model could threaten the leadership of US chipmakers and their profitability in the AI space.

• Nvidia’s recovery was a key factor in the Nasdaq’s rally and helped pull other tech stocks higher.

With Nvidia leading the charge, the market began to claw back losses from Monday’s tech-led rout, but concerns over DeepSeek's disruptive technology remain. Investors are now looking ahead to Big Tech earnings this week, including reports from Apple (AAPL), Tesla (TSLA), Meta (META), and Microsoft (MSFT). These reports will likely provide more clues about the future of AI investments and the competitive landscape.