U.S. equity markets are set to open deep in the red as investors begin to digest the significance of DeepSeek’s AI reasoning model R1.

Meta, Nvidia, and other tech giants react to DeepSeek's competitive, cost-efficient models that challenge established market players.

So our plan here is to place a moderately bearish bet on Nvidia expiring at the end of February, and then a more aggressive bearish bet against it expiring in September, after Nvidia's August earnings report. If you are subscribed to our trading Substack, you can check your email for the specific trades. If not, you can subscribe below.

DeepSeek caused waves all over the world on Monday as one of its accomplishments — that it had created a very powerful A.I. model with far less money than many A.I. experts thought possible — raised a host of questions, including whether U.S. companies were even competitive in A.I. anymore.

Chinese AI startup DeepSeek's release of new AI models spurred a selloff in U.S. tech stocks, but some investors think the competitive concerns may be overblown.

Elon Musk, who is developing his own AI model, questioned whether Silicon Valley’s new Chinese rival had made up claims of being more efficient.

The Chinese start-up DeepSeek’s latest large language model has been described as a ‘Sputnik moment’ for the American tech industry

Marc Andreessen 🇺🇸 (@pmarca ... and Amazon have. For Nvidia CEO Jensen Huang, the news comes just as he is ramping up production of his vaunted Blackwell microchip, a more advanced version ...

Nvidia (NVDA) stock dropped nearly 17% Monday, leading a sell-off across chip stocks and the broader market after a new AI model from China's DeepSeek raised questions about AI investment and the rise of more cost-efficient artificial intelligence agents.

DeepSeek R1, the surprisingly efficient and powerful Chinese AI model, has taken the technology industry by storm and is rattling nerves on Wall Street.