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S&P 500 Gains and Losses Today: AI Stocks Plunge as DeepSeek Model Gains Traction

1. S&P 500 fell 1.5% due to AI market shifts. 2. Chinese startup DeepSeek's AI outperformed OpenAI, affecting investor sentiment. 3. Power and chip stocks plunged amid uncertainty over AI profitability. 4. AT&T and HCA Healthcare saw stock gains from strong earnings. 5. Utilities and semiconductor firms faced heavy losses on AI concerns.

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FAQ

Why Bearish?

The significant drop in the S&P 500 reflects broad market anxiety around AI advancements, impacting investor sentiment and future expectations.

How important is it?

The influence of the new AI competitor and the performance of related firms may lead investors to reassess their portfolios in the tech sector.

Why Short Term?

The immediate reaction to the news suggests volatility in the market could persist, similar to past AI-related announcements that caused rapid shifts.

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