US Markets Steady as Chinese AI Startup Creates Ripples

US markets found stability following a major shakeup caused by a Chinese AI startup's groundbreaking announcement. Key tech stocks recovered some losses after significant declines. Meanwhile, major indices in Europe and Asia showed mixed performances. Market attention now turns to upcoming earnings reports from tech giants.

On Tuesday, US markets regained some stability after a turbulent start to the week sparked by an unexpected disclosure from a Chinese artificial intelligence startup. The company revealed a large language model capable of challenging American technology behemoths, unsettling investors across the globe.

Notably, key indices such as the S&P 500 and Nasdaq showed slight upward movements after suffering substantial losses on Monday. Big tech companies, which had taken a hit, began recovering, with Nvidia and Broadcom among those reclaiming some of their footing.

As attention shifts to the upcoming earnings reports from major tech players like Apple and Microsoft, market watchers remain apprehensive about the broader impact of China's advancing AI capabilities and its potential to disrupt not just technology, but a range of interconnected industries.

(With inputs from agencies.)