The US tech stocks stabilized on Tuesday following their slump on Monday due to the sudden rise of the Chinese-made AI app, DeepSeek. Nvidia’s shares surged by 8.8%, reversing Monday’s decline, as analysts suggested the AI sell-off was an overreaction. The market adjustment came after DeepSeek claimed its model cost a fraction of its competitors, raising questions about America’s AI dominance and investment scale. President Trump termed it a ‘wake-up call’ for the US tech industry, hinting at a potential positive outcome. It seems his confidence in American dominance is unshaken, even as the rise of DeepSeek and the restrictions on advanced chip technology exports challenge some entrenched monopolies.