Nvidia stock trades lower, ASML rises after fourth-quarter bookings top analysts’ forecasts, and Wall Street awaits quarterly earnings Wednesday from Tesla, Microsoft, and Meta Platforms.

Chinese startup DeepSeek has debuted an AI app that challenges OpenAI's ChatGPT and other U.S. rivals, sending a shock through Wall Street.

Looking ahead, the company provided an optimistic outlook for the first quarter (Q1), projecting revenues between €7.5 billion and €8.0 billion, which is above the FactSet Consensus of €7.21 billion. The gross margin for Q1 is expected to be between 52% and 53%.

ASML shares jump 9% as strong chip orders ease AI spending fears. Traders eye semiconductor stocks as demand for high-end chips remains resilient.

Dutch chip equipment maker ASML Holding NV beat the fourth quarter earnings estimates and posted record net sales on an annual and sequential basis, on Wednesday. The company also reduced its Chinese market share in Q4.

Chinese companies have made technological leaps that have surprised observers despite attempts by the US to stifle Beijing’s ambitions.

The CEO of Dutch chipmaking giant ASML warned investors they needed to get used to more DeepSeek-style “elephants in the room” as he projected optimism days after China’s surprise AI chatbot caused turmoil for Western tech stocks.

Shrugging off fears prompted by Chinese AI firm DeepSeek, Dutch computer chip equipment maker ASML on Wednesday reported better than expected fourth-quarter bookings of 7.088 billion euros ($7.39 billion), on strong demand for its advanced tools.

A slew of stocks, including chip maker Nvidia, fell Monday after Chinese startup DeepSeek released an AI model that runs on less-advanced chips and at a lower cost than U.S. rivals.

Investors will seek reassurance that ASML's AI-dependent growth outlook for 2025 is secure despite a selloff sparked by China's DeepSeek, as the biggest supplier of equipment used to make computer chips ASML reports earnings on Wednesday.

Nvidia shares tumbled 17% Monday, the biggest drop since March 2020, erasing $589 billion from the company’s market capitalization. That eclipsed the previous record — a 9% drop in September ...