US tech stocks hold steady after DeepSeek AI App shock

US tech stocks remained steady on Tuesday, after they plummeted on Monday due to the sudden rise in popularity of DeepSeek (a Chinese AI app).

Experts say that the AI sell-off was likely an overreaction.

Investors quickly adjusted their bets after DeepSeek claimed that its model could be made for a fraction the cost of its competitors.

Analysts said that the new development raises questions about America's AI dominance in the future and the size of the investments US firms plan to make.

US President Donald Trump called the event "a wake-up" call for the US technology industry. He also suggested that it could prove to be "a positive" in the end for the US.

"If you can do it for less, you will get the same result." "I think that's good for us", he told journalists on Air Force One.

He added that he wasn't concerned about the breakthrough and said the US would remain the dominant player in this field.

The optimism about AI investments is largely responsible for the stock market boom that has occurred in the US over the past two years. This has led to fears of a bubble.

DeepSeek is the most popular free app in America just one week after its launch.

The US warned of a race to the top in the tech sector with China and took steps to limit the sale of advanced chip technology, which powers AI, to China.

Chinese AI developers, unable to import advanced chips in sufficient quantities, have been sharing their work and experimenting with new technologies.

AI models now require much less computing power.

They also cost much less than was previously believed possible, and this could be the catalyst for a revolution in the industry.

Nvidia, the company that makes the advanced chips that dominate AI investments and whose share price has risen in the past two years because of growing demand, was the worst hit on Monday.

The market value of the company dropped by almost $600bn on Monday (PS482bn), or 17%.

Janet Mui is the head of RBC Brewin Dolphin's market analysis. She said that investors will sell something new if it appears to be revolutionary, because they are uncertain.

But Ms Mui predicted that many companies like Apple would benefit from a reduction in the price of AI models.

This could be a boon to other tech giants who have been criticized for spending a lot on AI.

After the market shock in the US on Sunday, the main indexes remained steady.

The Dow Jones Industrial Average in New York closed 0.3% higher. The S&P 500 gained almost 1%, and the Nasdaq, which is heavily tech-focused, rose by 2%.

The FTSE 100, the UK's largest publicly listed companies, was also unchanged on Tuesday. It closed 0.35% higher.

Shares of Japanese AI firms, including Advantest Softbank, and Tokyo Electron, fell dramatically earlier, pushing the Nikkei benchmark down by 1.4%.

Other markets in Asia are closed during the Lunar New Year. The financial markets in Mainland China will close on Tuesday and reopen 5 February.

Who is the founder of DeepSeek?

Liang Wenfeng founded the company in Hangzhou in 2023, a city located in southeast China.

DeepSeek was founded by the 40-year old, who is a graduate of information and electronics engineering.

Recently, he was seen at a gathering between Chinese Premier Li Qiang and industry experts.

In an interview conducted by The China Academy in July 2024, Mr Liang expressed his surprise at the response to the earlier version of his AI-model.

He said, "We did not expect pricing to become such a sensitive topic."

"We simply followed our own pace. We calculated costs and set prices accordingly."

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Real Madrid's resurgence was sparked by Mbappe & Bellingham

Real Madrid is back! The rest of Europe has been warned.

The rock legends are back, not the discordant, enthusiastic high school band that they were for much of the season.

Carlo Ancelotti’s men will face Brest in the final of the Champions League League-phase on Wednesday. They have already secured a spot in the playoffs and a chance to sneak into the top 8.

Real has won four of their last five matches and scored 17 goals. They are currently leading La Liga by 4 points after being beaten 5-2 by Barcelona at the Spanish Super Cup.

Ancelotti received a lot of criticism for his team's inconsistent performance and the way they reacted to their new signing, Kylian Mbappe.

Real Madrid was in turmoil. "Ancelotti will leave the club this summer", "Mbappe is unable to settle", "Vinicius Junior is unsatisfied" were some of the questions asked.

The demise of European giants is exaggerated.

Ancelotti is not overly concerned by opinions from outside the club. However, he felt this time that there were some elements coming from within.

"Ancelotti decides when he will leave"

Ancelotti quickly denied the report that a Spanish radio station had reported Ancelotti told the club that this would be his final season.

Ancelotti, however, will decide on his departure from the club despite having a year and a quarter left in the contract. He has earned it after four years, 11 trophies and two Champions League victories.

This explains also his slight arrogance when he told the media, that after saying they were not good at all, the current league performance suggests the critics were incorrect.

It is clear that no one is better placed to determine when it is time to leave - that is, when he feels he cannot find the solutions necessary to continue to bring trophies to the club.

Florentino Perez will then be able to bring in a new player, most likely Xabi Alono. He always believed that Real or Liverpool were his next step if Bayer Leverkusen went well.

But not yet.

Ancelotti always thought Real would win titles in this season, particularly if they could overcome the laziness which can often follow a Champions League or La Liga-winning campaign.

They haven't been able to beat any of the best teams this season. This includes defeats in the Champions League by AC Milan and Liverpool, and being beaten by nine in both their encounters with Barcelona.

Ancelotti is unwavering, however, in his conviction.

Real would not hesitate to sell Vinicius

The injuries, especially in the defence of Eder Miitao and Dani Carvajal did not help the situation at all.

Ancelotti’s biggest problems were the lack of a central midfield that could control the game and the unwillingness to track back of any of his stellar front three. Jude Bellingham didn't know how to cover as much ground.

Real Madrid's success has been boosted by the renewed energy of Dani Ceballos, but their attacking displays have made a real difference.

What can I say about Vinicius Jr? He seems to be the center of attention for everyone, whether he is playing or not.

Saudi Arabia has made a massive offer to the Brazil attacker, who has been injured or suspended for a while.

Real Madrid's decision makers, who set the agenda, have allowed the story to "gain legs" thanks to Madrid's compliant media. They will continue to focus on the story as long as the club wants them to.

The money generated by the sale would be used to pay off the stadium's debt and provide a variety of financial benefits.

Real wouldn't be afraid to sell the player but the timing must be right.

Many have criticized Vinicius for his confrontational response to taunts by opposition supporters.

In the latest incident he made a hand motion suggesting that the La Liga struggling team was going to be relegated by responding to chants "tonto".

No player that I've seen has ever received such abuse, including a number of racist examples from fans.

Vinicius will not bow his head or close his mouth.

He feels that the abuse he gets is both unjust and fundamentally racist, which he will not tolerate.

Real's improved performance is also due to the growing understanding between Vinicius and Mbappe.

Mbappe's role as Real Madrid's main goal-scorer and leader is clearer every day.

Mbappe has always been too smart, talented, and precocious for him to falter or crumble under pressure at Real Madrid.

He initially saw his role as a nine as more static than it is now. He was also conscious not to be seen as invading Vinicius's space, both on and off the field. In fact, he even accepted that penalties would rotate.

He is now a familiar face on any pitch. The team adjusts to his presence accordingly. He also accepts that he is lethal as a nine, and not just with his back turned to the goal. Instead, he runs in behind him and finishes clinically.

Since missing a spot-kick against Athletic Club, on 4 December, he's scored 12 goals in just as many games, including his debut hattrick.

He has now been appointed as the official club penalty taker. Even Vinicius acknowledged that the team would do everything possible to ensure Mbappe is the top scorer both in La Liga and Champions League.

Bellingham becomes a 'leader' of Real Madrid

Rodrygo from Brazil is also in good form, scoring eight goals in the last nine matches after going two and half months without scoring.

A new confidence has replaced the self-doubts, and feelings of not being valued or appreciated by his club.

Ancelotti confirmed that he considers him a key match player, and a guaranteed starter.

Bellingham is another example, where the stock price continues to increase.

The England player is the oil that currently lubricates the Real machine, despite playing with minor injuries.

He is clearly having fun, whether he's driving forward or creating on the edge of his box with his back towards the goal.

Bellingham, who is everyone's favorite teammate, has already established himself, along with Mbappe as one of two leaders at Real Madrid.

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Australian Open: Madison Keys, a teenager who has grown up to be a Grand Slam champion at 29

 Madison Keys won her first Grand Slam, ending Aryna Sablalenka's hopes for a third consecutive Australian Open title.

Madison Keys came to Australia with a modest goal: she wanted to see how well she would perform as her 30th birthday is approaching next month.

After beating two-time champion Aryna Sablalenka in three set at Saturday's Australian Open Final, the resilient American has found her answer.

Keys won her first major after reaching a Grand Slam final for the second time eight years ago in New York. Then, she lost to Sloane Stephens.

The 6-3 and 6-0 defeat has been a source of pain ever since. But it was also an opportunity to learn.

She said, "I was so focused on being nervous during that match and I didn't give myself the chance to play."

"I think that the biggest thing for me was just knowing that I would be uncomfortable at many moments in the match.

It's going be stressful. "You have thousands of people looking at you."

Keys, who is now ranked 14th, will return to the Top 10 next week for the first since 2019.

In 2015, she was a 19-year old prodigy who made her first semi-final at Melbourne Park to show off her potential.

Ten years later, she beat world number two Iga Swaatek this time in the final four to set up a matchup with world number 1 Sabalenka.

The Belarusian was attempting to be the first woman since Martina Hingis in 1997-1999 to win three Melbourne titles in a single season.

Keys, the underdog and 19th seed, made a mockery of it all to win the title in a thrilling final with 6-3, 2-6. 7-5.

Keys finished her season in early October of last year, and she married her coach Bjorn fratangelo a month after.

Fratangelo was her coach from 2023. The two had been dating each other since 2017.

Fratangelo said to reporters the night before the final that Keys was still at his best.

"I don't think she is anywhere near her full potential," Fratangelo said, a fellow American and winner of the boys' singles title at the 2011 French Open.

You can only go so far with a sharpened axe. Sometimes you need to buy new tools. "I think that's exactly what I have tried to do."

Sabalenka's and Keys' power games can be overwhelming.

Swiatek praised Keys for his "bravery" after losing the semi-finals.

Fratangelo referred to Sabalenka as "a polished version of Madison" on the night before the final.

Keys was quoted as saying, "But I've seen what she does now and that is what greats do."

They have the ability and will to perform at a high level when the situation demands it.

Keys' early 30th-birthday present was a 10th and largest title in her career.

Keys won the Melbourne finals by beating Danielle Collins, Elena Rybakina and other former finalists.

In the semi-finals, she came back from a two-set deficit and saved a game point against Swiatek, world number two.

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What happens to the 7 lakh illegal immigrants who are at risk in India as a result of Trump's crackdown?

India is a major source of illegal immigration for the US government under Trump. In an executive order, the negative effects of illegal immigration are cited. India and the US are cooperating to confirm illegal Indians and repatriate them.

According to a Pew Research Center analysis for 2019-22, Indians were ranked third among illegal migrants in the US after Mexico and El Salvador. This report is alarming as the largest economy in the world prepares for mass deportations.

After the US President issued an executive order, a crackdown was launched on illegal immigrants. The number of illegal migrants has increased dramatically.

Last week, Donald Trump's US government began the "largest deportation operations in history" to fulfill one of his election promises.

What does the Pew Report show?

Pew reports that illegal immigration from India, Brazil and other countries in the former Soviet Union, Colombia, Ecuador and Colombia has increased significantly in the US between 2019-2022.

Mexico is the country with the largest number of illegal immigrants, with almost 40 lakh people. El Salvador comes in second with 7.5 lakh, and India follows with 7.25 lakh.

A New York Times article citing US government statistics revealed that in 2023, alone, 90,000 Indians attempted to illegally enter the United States.

Deportations of Indians from the United States are not new. In the past year, over 1,000 Indians have been sent back. The Indian government and the Trump administration are currently working together to deport illegal migrants.

What does Donald Trump's executive order say about illegal immigrants

Donald Trump signed a presidential order on January 22 that "suspends physical entry for aliens who are engaged in an invasion through the southern border of the United States."

Donald Trump said in 2018 that "illegal immigration affects all Americans' lives." The executive order cited this statement. Illegal immigration harms American workers, burdens American taxpayers, undermines public security, and places immense strain on local schools and hospitals.

"Illegal Immigration costs our country billions upon billions of dollars every year...I will take all legal actions at my disposal to combat this crisis. "And that's exactly what we are doing," he said.

How many illegal Indian immigrants have you identified? What will happen to them?

Bloomberg reported that both India and the US had identified almost 18,000 Indian illegal migrants who would be sent back. This number may be higher, as it is not known how many illegal immigrants are living in the US.

The Ministry of External Affairs announced on Friday that India will accept illegal migrants whose nationality has been confirmed.

New Delhi also said that it was against illegal immigration "because of its links to organized crime".

Randhir Jaiswal, spokesperson for the MEA, said that if Indians are found to be overstaying in the United States or in another country without the proper documentation and they have shared their documents with us, they will be returned.

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Why Modi government 3.0 keeps a distance from farmers protesting?

 "Abhi Supreme Court dekh rahi hai. Supreme Court ke jo nirdesh honge unaka paalan kiya jaega. The Supreme Court is currently looking into the issue. The Supreme Court's directives will be followed." Union Agriculture Minister Shivraj Singh Chouhan said to reporters earlier this week, when asked if he would invite protesting farmers who have been sitting in at Shambhu, and Khanauri, on the Punjab-Haryana border, since February last.

Chouhan's cautious response to questions about the ongoing farmers' protests led by the Samyukta Kisan Morcha and the Kisan Mazdoor Morcha indicates that the has changed its approach to dealing with farm stirrings. In contrast to its proactive engagement with agitating farm-unions during its previous term the NarendraModi NDA government 3.0 appears to be keeping a distance from the issue.

In the Modi 2.0 government, when farmers protested against the three central farm legislations (now repealed), a team of three union ministers consisting of then Agriculture Minister Narendra Singh tomar, Food Ministry Piyush goyal , and Minister of State of Commerce Somprakash held 11 rounds with their respective unions between October 14, 2020 and January 22, 2021. Even the Union Home Minister Amit shah rushed to the Pusa Complex in Delhi on one occasion to meet with farmer leaders at night. This was between October 14, 2020 and January 22, 2021.

Three Union Ministers -- Goyal, then Agriculture Minister Arjun Munda, and MoS for Interior Affairs Nityanand Ra flew to Chandigarh in early February of last year to hold two rounds with the agitating Farm Unions.

The Centre has not engaged with protesting farmers since then despite their standoff. They have demanded legal status for Minimum Support Price and MSP of crops, as well as a waiver of farm debt.

Chouhan, for his part, has invited farmers to a meeting each Tuesday and met with some farmer groups. He also met with state Agriculture Ministers including Punjab Minister Gurmeet Sing Khudian to discuss the state of agriculture. He has yet to meet with the farmers who are agitating.

The government appears to think that the move by then Agriculture Secretary Sanjay Aggarwal to invite 29 protesting farm-unions to Delhi for the first round meeting with them on Krishi Bhawan, October 14, 2020 has fueled their protests rather than resolved the row. The meeting was a disaster as the farmers' leaders demanded the presence of Agriculture minister Tomar. The farmers ripped up copies of the three Bills and shouted slogans in front of Krishi Bhawan. The farmers' march to Delhi began on November 26, 2021. The government and the farmer unions held 10 additional rounds of discussions until January 22, 2020. These meetings were ineffective as the farmers refused to budge, and they continued their blockade at Delhi's borders.

The Supreme Court issued an order on January 12, 2021 to halt the implementation of farm laws. It also created a four member committee that would deliberate the three farm legislations. Bhupinder Mann, national President of Bhartiya Kisan Union and All India Kisan Coordination Committee and a member of the committee, recused himself. The other three members - Dr Parmod Kumar Joshuai, Director of South Asia at the International Food Policy Research Institute; Ashok Gulati - former Chairman of Commission for Agricultural Costs and Prices - and Anil Ghanwat – president of Shetkari Sanghatana – deliberated and presented a report to

In an address to the country, Modi announced that three farm laws would be repealed on the occasion Guru Nanak Dev Jayanti, which will take place on 19 November 2021.

Since February 13, 2024, the SKM (nonpolitical) & KMM are camping at Shambhu & Khanauri border after Haryana Police halted their "Dilli chalo" march and blocked their entry to the state on their way to the National Capital.

The Centre could have changed its approach to the farm agitation due to a variety of factors. The current farm agitation is confined to the Punjab-Haryana boundary, and its geographic spread is not as large as the movement for 2020-21. The SKM, an umbrella organization of farm unions in Punjab and other states, has not joined the current protest despite its support. Thirdly, the current demonstration has multiple demands, including those that were made earlier. The 2020-21 movement, however, was directed at the three farm laws of the Centre.

Farmers have also remained steadfast. The farmers had not nominated any members to the committee that was announced by the PM to investigate various farm issues on November 19, 2021. On July 18, 2022 the Centre created a panel headed by former Agriculture Secretary Sanjay Agrawal to examine several topics, including making the MSP "effective and transparent".

Jagjit Singh Dalewal, the president of BKU Sidhupur in July 2022, split from the SKM to form the SKM(non-political). Dallewal is on a death-by-fast at Khanauri, since November 26, to insist that the Centre accepts the farmers' demands. The apex Court expressed concern about Dallewal’s health after hearing various petitions. Dallewal entered his 40th day of hunger strike on Saturday.

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H-1B visa under fire: Senator Sanders blasts Elon Musk and says tech giants abuse H-1B to replace US jobs

Senator Bernie Sanders, chairman of the Senate Committee on Health, Education, Labor, and Pensions, expressed strong opposition to H-1B visas, and pushed back against the claims made by billionaire technology leaders, such as Tesla CEO Elon Musk.

Sanders criticized recent comments by Tesla's CEO Elon Musk as well as entrepreneur Vivek RAMaswamy who are both close allies to President-elect Donald Trump. Sanders also pushed back on claims made by other tech billionaires. Sanders said in a January 2 statement that "there has been much discussion about the H-1B Guest Worker Program. Elon Musk, along with other billionaire owners of tech companies, have claimed that the federal program is essential to our economy due to the shortage of highly-skilled American engineers and tech workers. "I disagree."

Sanders said that while proponents of the program claim it addresses a lack of highly-skilled American workers, it is a tool used to replace high-paying jobs in America with low-wage foreign workers. Sanders stated that "the main function of H-1B Visa program" is not to hire the "best and brightest," but to replace well-paying American positions with low-wage foreign indentured workers.

The hiring of guest workers and corporate layoffs are under scrutiny

Sanders cited data that showed major corporations using the H-1B Program laidoff at least 85,000 American employees in 2022 and 20, while hiring more than 34,000 H-1B Workers. He noted that Tesla laid off 7,500 employees, including software developers and engineers, but had been approved to hire thousands of H-1Bs. Sanders asked: "If there is a true shortage of skilled workers why are these layoffs happening?"

Questions raised about the jobs filled by H-1B workers

Senators also expressed concern about the roles that H-1B workers fill. Sanders cited associate accountants who earn $58,000 a year and material planners who make $80,000 a year as examples. Sanders said, "These jobs don't seem like they are highly specialized for the top 0.1%," in response to claims made by leaders of tech companies like Elon Musk.

Widespread misuse of H-1B Program highlighted

Sanders questioned whether these jobs really required foreign talent. He pointed out that the program was being used to fill such roles as dog trainers and massage therapists. He asked, "Can we not find English teachers here in America?"

Proposed reforms for American workers

Sanders demanded significant reforms of the H-1B Program, including increasing the minimum wage, ensuring that guest workers can easily switch jobs, and requiring companies to give priority to hiring American workers. Sanders also suggested increasing the guest worker fee to fund scholarships and training for American workers. Sanders stressed that it should never be cheaper to hire an overseas guest worker than an American employee.

The debate on economic inequality is at its core

The senator linked misuse of the H-1B to wider issues of economic inequity. Sanders said, "At a moment when the wealthiest three Americans own more than the bottom half, we need a system that works for everyone, not just a few."

Call for long-term solutions

Sanders called for a stronger education system in the United States to create a workforce that is well-educated and capable of meeting America's demands, such as technology, healthcare, or skilled trades. "The solution is not to import cheap labor from overseas. He concluded that the best way to solve this problem is by hiring qualified American workers.

This statement is a further intensification of the debate on the H-1B Program, and puts pressure on legislators and corporations to address concerns over labor practices and fair economic practices.

The H-1B Visa debate is heating up before Trump's inauguration

The debate about the H-1B program for highly-skilled foreign professionals is intensifying as Donald Trump prepares to be sworn in on January 20th, creating rifts between the Democratic and Republican parties. The H-1B visa program, which awards 65,000 visas per year, plus an additional 20,000 to those with advanced US degrees, is at the center of debates on immigration and job safety.

Trump supports H-1B visas

In an interview with The New York Post, President-elect Trump expressed his support for the program. He stated, "I have always liked visas." I've always supported visas. It's the reason we have them." His comments align with his vision to foster innovation and attract global talent to the US.

Key advisors support program

The H-1B program is also supported by two of Trump's closest allies: Tesla CEO Elon Musk, and entrepreneur Vivek Raaswamy. Both have been chosen to lead the Department of Government Efficiency. Both have stressed its importance for filling critical gaps within specialized industries. Ramaswamy and Musk argued that the U.S. is lacking in many specialized fields, underlining the importance of the program in maintaining the competitive edge.

Trump's base reacts to the backlash

Trump has endorsed the H-1B program, but some of his supporters have been very critical. They claim that H-1B visas allow companies to hire foreign workers at lower wages, which is unfair for American workers. Critics say the program is a corporate profit-driven scheme that prioritizes foreign talent over local employment.

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