by Diana Mandia
(Reuters) – European scholarships finished in red on Monday, investors who fled the risk after the announcements of the Chinese group Deepseek concerning its models of artificial intelligence (IA), which have raised doubts about the investments of Western companies in the sector.
In Paris, CAC 40 lost 0.27% to 7,906.58 points. In Frankfurt, the Dax fell 0.54% and in London, the FTSE 100 took 0.02%.
The Eurostoxx 50 index ended up on a drop of 0.60%, the FTSEUROFirst 300 abandoned 0.12%and the Stoxx 600 lost 0.04%.
European stock markets knew a difficult session on Monday, the growing interest in the artificial intelligence model of the Chinese start-up Deepseek, which claims to be cheaper than Chatgpt, having fueled concerns about high valuations in the sector time.
Deepseek’s AI assistant, who exceeded her American rival Chatgpt to become the best rated free application in the Apple App Store, in particular risks questioning the widespread bet on the markets according to which AA will stimulate demand throughout the supply chain.
The concern is all the greater since in the last 18 months, the development of the AI ​​had led to a massive influx of capital in the stock markets and inflated the valuations of the giants of electronic fleas such as the American NVIDIA.
Caution for the risk could mark the rest of the week, that investors already anticipated well loaded with a long series of results from planned companies, macroeconomic indicators and monetary policy decisions of the American Federal Reserve (Fed) and of the European Central Bank (ECB).
Speculation also continued on the projects of American customs tariffs, which should be at the heart of the comments of central banks this week.
VALUES
Deepseek announcements affected the technological values ​​of the Stoxx 600 which fell 3.4% on Monday, its highest decrease in one day since mid-October.
The Dutch giants of semiconductors ASML, ASMI and BE SEMI lost between 7% and 12%, while Siemens Energy, which provides electrical equipment for AI infrastructure, abandoned 3.3% and Schneider Electric , also very exposed to the AI ​​sector, sold 9.4%.
In the rest of the business news, Ryanair took 3.2% after posting a higher quarterly benefit than expected.
A Wall Street
At the time of the fence in Europe, the Dow Jones fell 0.11%, the Standard & Poor’s 500 of 1.79%and the Nasdaq composite of 3.01%.
Nvidia, whose chips are the first choice to supply artificial intelligence applications, loses 15%, while the semiconductor sector loses 8.6%and the technology sector 5.6%.
The indicators of the day
In Germany, the morale of entrepreneurs progressed unexpectedly in January, according to an investigation by the Ifo Institute published Monday which shows that the business climate index was 85.1 in December while the economists questioned by Reuters provided for a figure of 84.7.
Changes
On the foreign exchange market, the dollar fell with hopes that the customs duties that US President Donald Trump threatens to impose on his main business partners will be less severe than expected.
The dollar loses 0.13% against a basket of reference currencies, while the euro grabs 0.02% to 1.0495 dollars.
The Japanese Yen and the Swiss franc appreciated on Monday compared to the main currencies, investors who have opted for refuge values ​​and state obligations.
RATE
Bond yields in the euro area fell on Monday, investors rushing to bonds in a context of selling technological values, Deepseek announcements that have shaken the markets.
The yield of the German Bund at ten years lost 4 base points at 2.5060%, as is that of its two -year counterpart which ended up at 2,2,500%.
The movement is similar to the United States, where investors also flee the risk in the face of doubts that weigh in the technological sector.
The yield of ten -year -old Treasuries has a drop 8.3 basic points to 4.5403%. The two -year -old loses 6.8 base points at 4.2036%.
OIL
Oil prices retreat on Monday, while Donald Trump once again called on OPEC countries to accept a drop in prices and the withdrawal of sanctions for Colombia has reduced immediate concerns concerning disruption of supply supply .
Brent took 2.08% at 76.87 dollars per barrel and American brut (West Texas Intermediate, WTI) 2.26% at 72.97 dollars.
(Some data may accuse a slight offset)
(Written by Diana Mandiá)
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I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.
