Nvidia closed higher on Tuesday as some investors seized an opportunity to buy the chip giant at a discount following its record wipeout on Monday.

Investors around the world are reassessing the prospects for technology companies after a Chinese artificial intelligence start-up rocked markets in the United States on Monday.

Technology stocks regained ground on Tuesday, a day after a low-cost Chinese AI model rattled markets, while traders rotated back into the dollar from safe-haven currencies.

The rest of the stock market could finally catch up to the Magnificent Seven this year—and it has nothing to do with DeepSeek. The gap in earnings growth between the Magnificent Seven and the rest of the benchmark index should compress from roughly 8 percent to less than 5 percent by the end of 2025,

Entrepreneur Marc Andreessen, known for co-writing Mosaic, one of the world’s first web browsers, wrote Sunday on X that “DeepSeek R1 is AI’s Sputnik moment,” likening it to the space race between the U.S. and the Soviet Union and the event that forced the U.S. to realize that its technological abilities were not unassailable.

Technology shares steadied, led by a modest recovery in Nvidia after its record-breaking wipeout in market value.

U.S. stocks recovered some ground on Tuesday after getting hammered by fears over China's DeepSeek AI model built on a shoestring budget.

US tech stocks were steady on Tuesday after they slumped on Monday following the sudden rise of Chinese-made artificial intelligence (AI) app DeepSeek. Shares in chip giant Nvidia rose by 8.8%, having slumped on Monday,