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The Day DeepSeek Turned Tech and Wall Street Upside Down - WSJ

1. Nvidia faced a massive drop of 17% due to DeepSeek's AI model release. 2. DeepSeek's model requires less computing power, threatening Nvidia's chip dominance. 3. Monday's market saw over $1 trillion lost, impacting Nvidia and chip stocks. 4. AI stock exuberance may be unsustainable, foreshadowing further volatility. 5. DeepSeek's advancements highlight competition, altering the AI chip landscape.

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FAQ

Why Bearish?

DeepSeek's innovation poses a competitive threat to Nvidia's market share.

How important is it?

The emergence of competition in AI poses significant risks to Nvidia's valuation.

Why Short Term?

Immediate market reactions indicate short-term volatility for Nvidia's stock.

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