Investors were looking to Microsoft and Meta to provide reassurance that they will keep spending heavily on Nvidia chips.

The tech giants are keeping capital spending plans in line as DeepSeek raises questions about future computing needs.

Nvidia sank below the 50-day moving average Monday, falling over 10%. On Monday, the Wall Street Journal reported that Chinese artificial intelligence company DeepSeek's latest large language model came close to its American rivals at a fraction of the cost.

OpenAI CEO Sam Altman announced a technological milestone on Friday, revealing the deployment of NVIDIA Corp.'s first full 8-rack GB200 NVL72 system on Microsoft Corp.'s Azure platform, marking a major advancement in the companies' strategic partnership.

Optimists looking for an encore performance from Wall Street were handsomely rewarded in 2024. Last year, the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all achieved multiple record-closing highs and ended higher by 13%, 23%, and 29%, respectively.

In today's video, I discuss the recent updates impacting Nvidia (NASDAQ: NVDA) and other AI stocks after the volatility created by DeepSeek AI. To learn more, check out the short video, consider subscribing, and click the special offer link below.

Retail investors bought a net $562 million of Nvidia stock on Monday, the largest single-day inflow in at least 10 years, VandaTrack said.

Nvidia is the gold standard and leading provider of the graphics processing units (GPUs) used to train and run AI systems. The company is believed to control as much as 98% of the data center GPU market, according to semiconductor analyst firm TechInsights. If AI models can be trained on lower-cost, inferior chips, Nvidia has a lot to lose.

Since the start of 2023, Nvidia 's (NASDAQ: NVDA) stock has gained an astronomical 906% as of the time of writing. It's also right around its all-time high right now, but these two facts may scare some investors off. The common thought is, "Nvidia has risen so much already; how can it increase more?"

Data center technology spending skyrocketed 34 percent in 2024, according to Synergy Research Group. It is soaring past a half a trillion dollars in the first month of 2025 as banks and technology vendors vie to build out massive AI compute.

The superstar run for Nvidia’s stock the last few years has been astonishing. So was its tumble Monday, which caused $595 billion in wealth to vanish.