January 30, 2025

Yes, AI-related stocks are experiencing a rebound following an initial sell-off triggered by the emergence of DeepSeek's cost-efficient AI model. Investors are reassessing the long-term implications of DeepSeek's advancements, leading to a recovery in stock prices.

For instance, Nvidia's stock, which had previously declined due to concerns over reduced demand for high-performance chips, has shown signs of recovery. On Tuesday, Nvidia's stock ended nearly 9% higher, indicating renewed investor confidence.

apnews.com

Similarly, other tech stocks have rebounded as initial concerns over DeepSeek's potential market disruption have eased. Analysts suggest that while DeepSeek's innovations may lead to more efficient AI models, the overall demand for AI infrastructure and applications remains strong, benefiting companies across the AI ecosystem.

reuters.com

In summary, after an initial downturn prompted by DeepSeek's announcement, AI stocks are rebounding as investors gain a more nuanced understanding of the development's implications and recognize the sustained demand for AI technologies.