Singapore/London: As a market crash triggered by the introduction of a low-cost Chinese artificial intelligence model reached its second day, investors began to doubt the exorbitant valuation and dominance of AI bellwethers, which caused global technology shares to plummet on Tuesday.
US markets dropped Monday as shares of Nvidia (NVDA.O), a market leader in AI chips, plunged 17%, wiping out $593 billion from its market value, a historic one-day loss for any firm.
By Tuesday, tech shares in Europe were waning, while Nvidia’s shares were up almost 6% in Frankfurt, Oracle’s (ORCL.N), opens new tab, and Palantir’s (PLTR.O), AI data analytics business, were up 3.4% and 2.97%, respectively.
The debut of a free AI helper by China’s DeepSeek sparked the sell-off.
