Here’s a quick rundown of what’s happening: 👇
1💥 DeepSeek’s AI Retooling
A Chinese AI startup, DeepSeek, just released an open-source AI model that some say is even more powerful than ChatGPT. The problem? It cost a fraction of the money to build. This has caused quite a stir because many tech companies are valued based on market dominance and ChatGPT’s high cost. Now, investors are wondering whether AI companies are overvalued, and that’s impacting the stock market today.
2💥Fed News Coming
The Federal Reserve’s (FOMC) meeting is happening this week, and investors are nervous. If the Fed raises rates, it could affect the markets. Investors don’t like uncertainty, and that’s adding to market jitters.
3💥Trade Tensions Are Back
New tariff threats have resurfaced, fueling fears of trade disruptions. This is another factor contributing to today's sell-off.
IS THE MARKET CORRECTING???
Yes, it's a bit dramatic right now. The initial reaction is always sharp, but it will likely calm down once the DeepSeek news settles down and the FOMC results come out.
LOOKING AHEAD
We're not at the end of the road yet. In fact, when people think the market is over, it could be a sign that things are about to change. So take a deep breath - there's time to adjust.
Stay tuned for more updates!