Melania Trump’s official portrait released by White House

Melania Trump’s official portrait released by White House
Melania Trump’s official portrait released by White House
Photo by Joe Raedle/Getty Images

(WASHINGTON) — The official portrait of first lady Melania Trump was unveiled by the White House on Monday.

The image, released in black and white, was taken in the residence by photographer Régine Mahaux.

The first lady’s office confirmed the photo was taken on Jan. 21, 2025, though the initial release mistakenly said it was taken in 2024.

The portraits of President Donald Trump and Vice President JD Vance were released earlier this month ahead of the inauguration. Those images were put out by the transition team.

Melania Trump attended the inaugural events, and made a statement with her style choices. She first wore a navy and ivory ensemble, complete with a hat, from American designer Adam Lippes for the swearing-in ceremony. For the evening’s inaugural balls, she donned a black-and-white gown designed by her longtime stylist Herve Pierre.

She also joined President Trump as he surveyed hurricane damage in North Carolina last Friday.

The two celebrated their 20th wedding anniversary last week. President Trump took to his social media platform to wish her a happy anniversary.

ABC News’ Alexandra Hutzler contributed to this report.

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Tucker Carlson’s son Buckley is joining JD Vance’s staff

Tucker Carlson’s son Buckley is joining JD Vance’s staff
Tucker Carlson’s son Buckley is joining JD Vance’s staff
Chip Somodevilla/Getty Images, FILE

(WASHINGTON) — Buckley Carlson, a former Capitol Hill aide and the son of conservative media personality Tucker Carlson, is set to join Vice President JD Vance’s press office, sources tell ABC News.

The younger Carlson is set to serve as Vance’s deputy press secretary, sources said.

Buckley Carlson has worked as an aide on Capitol Hill since 2019, including most recently serving as deputy chief of staff to Republican Rep. Jim Banks.

He first joined Banks’ office in 2019 as a staff assistant before becoming communications director in 2021.

Earlier this month, Vance tapped several former employees to join his vice presidential staff in senior staff roles, including Jacob Reses, who is continuing to serve as his chief of staff.

Brian Gray, who served as Vance’s political director for his 2022 Senate campaign and state director for his Senate office, was tapped to be his deputy chief of staff.

Ben Moss will serve as Vance’s director of domestic policy after previously serving as Vance’s general counsel during his time in the Senate.

Andy Baker, a former foreign officer, was brought on to serve as Vance’s national security adviser.

Will Martin was made Vance’s communication director after previously serving as Vance’s communication director during his time in the Senate. Luke Schroeder, who previously served as press secretary for Vance’s Senate office, is now Vance’s deputy communications director. Both men also worked for Vance during the presidential campaign.

Taylor Van Kirk is Vance’s press secretary after previously working as the communications director for his 2022 Senate campaign and as his press secretary during the presidential campaign.

Vance’s director of operations is Abby Delahoyde, who previously held the same role under Vance when he was in the Senate. She also previously worked for Rep. Byron Donalds and former Housing and Urban Development Secretary Ben Carson.

Sean Cooksey, the former chair of the Federal Election Commission, also joined the vice president’s staff to serve as general counsel to Vance.

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RFK Jr. says he’s not anti-vaccine. But he could profit off a vaccine fraud claim lawsuit.

RFK Jr. says he’s not anti-vaccine. But he could profit off a vaccine fraud claim lawsuit.
RFK Jr. says he’s not anti-vaccine. But he could profit off a vaccine fraud claim lawsuit.
Chip Somodevilla/Getty Images

(WASHINGTON) — In 2020, as a pandemic raged across the globe, Robert F. Kennedy Jr. took to social media to appeal to his hundreds of thousands of followers on Facebook.

The son of the late U.S. Attorney General and New York Sen. Bobby Kennedy and nephew of President John F. Kennedy, the younger Kennedy said he was looking for parents whose children had been vaccinated against a different virus — human papillomavirus or HPV — and later grew sick.

Public health researchers and doctors said there was no evidence that the vaccine, Gardasil, was linked to the health problems he cited, noting 160 favorable studies on safety. A federal court created to compensate people injured by vaccines also had already rejected a similar claim, citing “insufficient proof” that the vaccine was behind the plaintiff’s health issues.

But in his posts, Kennedy said that he and lawyer Michael Baum – “one of my closest friends” — believed there was still a path forward. The families could sue the manufacturer Merck in civil court claiming marketing fraud – allegations Merck denies.

“If you have been injured by Gardasil, call us,” Kennedy wrote on Facebook, posting a toll-free number invoking his famous initials “RFK.”

According to financial disclosure documents released last week, Kennedy’s primary source of income in the past year were large sums of referral fees from multiple law firms, including Baum’s office, whose civil lawsuit against Merck’s Gardasil vaccine went to trial in Los Angeles County Superior Court last week.

Kennedy’s leading role in building a case against Merck is now raising questions about how he might wield his power as the nation’s next health secretary – a job intended as an impartial overseer in public health – while in line for potential payouts from a major pharmaceutical company.

“This disclosure shows that RFK Jr. made millions off of peddling dangerous anti-vaccine conspiracies,” said Sen. Elizabeth Warren, D-Mass., a member of the Senate Finance Committee, which will oversee Kennedy’s nomination.

“Even worse, if he is confirmed, his finances will still be tied to the outcomes of anti-vaccine lawsuits — even as he’d be tasked with regulating them as health secretary. These are outrageous conflicts of interest that endanger public health,” Warren said in a statement provided to reporters.

Kennedy, who is expected to testify for the first time Wednesday before the Senate panel, said he has resigned his work with several law firms, including Wisner Baum, and that if confirmed he would not be involved in legal cases.

But in a plan greenlit by federal ethics officials, Kennedy said he plans to retain his right to 10 percent of fees awarded in contingency cases with Wisner Baum so long as the cases don’t involve the U.S. government. The federal government is not a party in the civil lawsuit against Merck.

“I am entitled to receive a portion of future recovery in these cases based upon the set percentage as set forth in the referral agreement,” he wrote.

Kennedy disclosed another $856,559 in income from Wisner Baum referral fees, although the documents do not say which legal cases were tied to those fees. Other income included $8.8 million from his firm Kennedy & Madonna. Kennedy said he was terminating his relationship with the firm, which would no longer use his name.

A spokesperson for Kennedy declined to comment on the record on the Wisner Baum payouts and ongoing lawsuit. Baum did not respond to a request for comment.

In a statement on the civil lawsuit, Merck said “an overwhelming body of scientific evidence, including more than 30 years of research and development along with real world evidence generated by Merck and by independent investigators, continues to support the safety and efficacy of our HPV vaccines. The plaintiff’s allegations have no merit, and we remain committed to vigorously defending against these claims.”

Robert Krakow, a New York lawyer who specializes in vaccine injury cases and has worked with Kennedy in the past, said referral fees are fairly standard when it comes to personal injury claims.

Kennedy has been a “galvanizing force” when it came to questioning vaccine safety, providing a special touch when talking to families because “he was very sincere and listened to people,” Krakow said. Using social media platforms to recruit clients is a natural extension of that work, he said.

“It’s not often you have a celebrity do that,” Krawkow said of Kennedy’s work to find clients who claim vaccine injuries. “But there’s nothing inherently wrong with recruiting people for referral fees.”

Reuters was first to report Kennedy’s extensive role in the Gardasil vaccine lawsuit.

Because Kennedy’s financial arrangement was allowed by ethics officials, it’s not clear whether the issue will be a sticking point for Republicans eager to align with Trump. According to the agreement released last week, Kennedy can keep the fees from Wisner Baum so long as the independent ethics office at the Health and Human Services Department determines the case does “not involve the United States as a party and in which the United States does not have a direct and substantial interest.”

Kennedy also has insisted in private meetings with senators that he is not “anti-vaccine,” but only wants more study, according to one person familiar with the discussions.

The messaging aligns with what Kennedy has said publicly. Kennedy often notes he was vaccinated as a child and opted to vaccinate his own children decades ago. His work as chair and chief litigator of the Children’s Heath Defense, which opposes the recommended schedule of vaccines for children, did not begin until around 2015.

“What I’ve said is I’m pro-science and pro-safety,” he told a local New Hampshire television station in 2023.

Still, public health experts and many senators — several of them old enough to remember serious outbreaks of measles and polio in the 1950s — have expressed serious concerns about his role in eroding confidence in vaccines even if he says he won’t outright block access to them.

“We potentially face a massive health hazard, maybe especially for our children,” said Sen. Bernie Sanders, the top Democrat on the Senate Health, Education, Labor and Pensions Committee.

Sanders, a Vermont Democrat who had been seen as someone who might be able to find common ground with Kennedy on environmental and food policy, said the concern with the incoming administration was that “we may revert back to those terrible days when so many children died” before age 3.

As head of the Health and Human Services Department, Kennedy would be responsible for the Food and Drug Administration, which regulates the selling and marketing of vaccines, and the Centers for Disease Control and Prevention, which collects data on vaccines to issue public health recommendations that are closely followed by doctors.

If confirmed, he could insist upon appointing vaccine skeptics to the independent group that reviews FDA data on vaccines.

Kennedy also could alter how information is used from CDC’s public reporting system known as “VAERS” that allows anyone to flag possible adverse reactions from vaccines. The reports are unverified but used to look for potential patterns that can be investigated.

Health officials say symptoms reported in VAERS are often found to be unrelated from a person’s immunization history.

Dorit Reiss, a professor at UC Law San Francisco and expert in legal issues on vaccinations, said handing over that process to someone with Kennedy’s track record would be unprecedented.

“Kennedy has been a committed anti-vaccine activist for a long time. I have seen no indication that his views have changed,” Reiss said.

ABC’s Sony Salzman and Will McDuffie contributed to this report.

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Heart disease remains leading cause of death in US, new report finds

Heart disease remains leading cause of death in US, new report finds
Heart disease remains leading cause of death in US, new report finds
ATU Images/Getty Images

(NEW YORK) — Heart disease remains the leading cause of death in the United States, according to a new report.

The American Heart Association (AHA) report, published Monday in the journal Circulation, found that 941,652 Americans died from cardiovascular disease in 2022, the most recent year for which data is available. That’s an increase of more than 10,000 from the just over 931,500 reported to have died from cardiovascular disease in 2021.

It also means that a person in the U.S. dies of cardiovascular disease every 34 seconds, or nearly 2,500 people every day, according to the AHA report.

“The stats are pretty sobering from this report,” Dr. Tara Narula, ABC News chief medical correspondent and a board-certified cardiologist, said on ABC’s “Good Morning America” on Monday. “In fact, cardiovascular disease kills more Americans than all forms of cancer and accidents combined.”

Cancer and accidental deaths continue to remain the second and third leading causes of death, respectively, according to the latest data from the Centers for Disease Control and Prevention (CDC).

The AHA report also found racial and ethnicity disparities, with Black Americans having the highest prevalence of cardiovascular disease. Between 2017 and 2020, 59% of non-Hispanic Black females and 58.9% of non-Hispanic Black males had some form of the disease, according to the report.

In addition, the report showed several heart disease risk factors continue to rise, with nearly 47% of American adults having high blood pressure and more than half, 57%, diagnosed with type 2 diabetes or prediabetes.

Additionally, 72% of U.S. adults have an unhealthy weight, with nearly 42% of adults having obesity, which also is a risk factor for developing cardiovascular disease, according to the AHA report.

In an accompanying editorial, Dr. Dhruv Kazi, associate director of the Richard A. and Susan F. Smith Center for Outcomes Research in Cardiology at Beth Israel Deaconess Medical Center In Boston, said risk factors for cardiovascular disease are expected to rise over the next several years.

“Although we have made a lot of progress against cardiovascular disease in the past few decades, there is a lot more work that remains to be done,” Kazi wrote. “If recent trends continue, hypertension and obesity will each affect more than 180million U.S. adults by 2050, whereas the prevalence of diabetes will climb to more than 80 million.”

Overall, cardiovascular-related deaths have begun plateauing after ticking upward during the COVID-19 pandemic, according to the AHA. The report found death rates dropped during the survey period for all 10 leading causes of death except kidney disease, which increased by 1.5%.

The good news is that 80% of cardiovascular disease is preventable, according to Narula. Ways to lower the risk include eating a heart-healthy diet, getting regular exercise, quitting smoking, managing stress, and getting adequate sleep every night.

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New York state trooper who allegedly ‘staged’ shooting surrenders on criminal charges: Criminal complaint

New York state trooper who allegedly ‘staged’ shooting surrenders on criminal charges: Criminal complaint
New York state trooper who allegedly ‘staged’ shooting surrenders on criminal charges: Criminal complaint
Lori Van Buren/Albany Times Union via Getty Images

(HEMPSTEAD, N.Y.) — A New York state trooper who claimed to have been shot in the line of duty in October is now facing criminal charges for having allegedly “staged” the shooting, according to officials.

Thomas Mascia, 27, surrendered to police Monday morning, a spokesperson for the Nassau County District Attorney’s Office told ABC News. He faces charges of official misconduct, falsely reporting a crime and tampering with evidence.

Mascia’s parents, Dorothy and Thomas, also surrendered to police on charges of criminal possession of a firearm, according to the district attorney’s office. All three have been released on their own recognizance.

Mascia was on duty Oct. 30 in Hempstead when he “initiated a radio transmission for shots fired,” according to a felony complaint obtained by ABC News.

He then “claimed he was shot by the driver of a black Dodger Charger described as either a Black or dark-skinned Hispanic male.”

The complaint alleges Mascia actually “staged the scene of the shooting,” placing shell casings on the ground hours earlier.

He then allegedly “shot himself in the leg in another location before returning to the staged location” on the Southern State Parkway.

State police temporarily shut down the section of the parkway where Mascia claimed the incident occurred “in an effort to locate the non-existent shooters, causing alarm and inconvenience to the public,” the complaint states.

The complaint accuses Mascia of staging the shooting “for the benefit of gaining attention or sympathy for himself.”

An attorney representing Mascia did not immediately respond to a request for comment.

He is expected to make his next court appearance Feb. 5.

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Middle East live updates: Thousands walk and drive into northern Gaza

Middle East live updates: Thousands walk and drive into northern Gaza
Middle East live updates: Thousands walk and drive into northern Gaza
Stringer/Anadolu via Getty Images

(LONDON) — Many residents of northern Gaza and southern Lebanon are expected to return to their homes in the coming days and weeks, with most of the fighting in both areas paused under Israeli ceasefire agreements with Hamas and Hezbollah.

Under Israel’s multi-phased deal with Hamas, some hostages held in the Gaza Strip and Palestinian prisoners in Israeli jails have started to be released. Negotiations between Israel and Hamas are expected to continue amid the first phase of the deal, which was slated to last about six weeks.

135,000 tents needed in Gaza

As people return to northern Gaza on Monday, the Gaza government said it “immediately and urgently” needs at least 135,000 tents because 90% of the buildings have been destroyed.

The government called on the international community to help provide “basic supplies” for Palestinians.

8 dead hostages among 33 being released in 1st phase: Israel

Of the 33 Israeli hostages set to be released during the first phase of the ceasefire, eight have been killed by Hamas, according to Israeli government spokesperson David Mencer.

Seven hostages have already been released since the start of the ceasefire, meaning 18 more living hostages will be released by Hamas in the coming weeks.

More hostages are set to be released on Thursday and Saturday, Mencer said.

Threats to ceasefire will ‘bear the full cost,’ Israeli minister says

Katz Israel, the Israeli defense minister, said on Monday that his country would “firmly” enforce the ceasefires that have paused fighting in Gaza.

“Anyone who violates the rules or threatens IDF forces will bear the full cost,” he said in Hebrew on social media. “We will not allow a return to the reality of Oct. 7.”

Tens of thousands trek into northern Gaza

Tens of thousands of people were marching and driving on Monday back to northern Gaza, after Israel allowed them to cross into the north for the first time in over a year.

Long lines of Palestinians — some singing, others smiling and some kneeling to kiss the soil as they stepped into the northern part of the strip — were seen making their way home.

Those returning home were moving along two main routes.

Many of those who were were walking home were moving along al-Rashid Street, a path expected to be taken by about 300,000 people.

Many of those who were driving north were doing so along Salah al-Din Road.

A line of cars could be seen stretching for about 8 miles on Monday morning, as they waited for permission to cross into the northern part of Gaza.

-ABC News’ Sami Zyara, Diaa Ostaz, Jordana Miller, Nasser Atta and Samayeh Malekian

1 dead, 4 injured after IDF fired at ‘dozens of suspects’ in central Gaza

The Palestinian Red Crescent Society said its team evacuated one person who was killed, and four people who were injured, after an attack by Israeli snipers near the Wadi Gaza Bridge on Sunday.

Israel Defense Forces said in a statement that troops fired “warning shots” at “several gatherings of dozens of suspects” who the IDF said posed a threat to them.

Additionally, a rocket was destroyed by Israeli troops in southern Gaza, according to the IDF’s statement.

Secretary of Defense Pete Hegseth had introductory call with Israel’s Netanyahu

Newly confirmed Secretary of Defense Pete Hegseth had an introductory call on Sunday with Israeli Prime Minister Benjamin Netanyahu, according to a statement from a U.S. senior defense official.

“Both leaders discussed the importance of advancing mutual security interests and priorities, especially in the face of persistent threats,” according to the statement.

Hegseth, who won Senate confirmation after being selected by President Donald Trump for the role, stressed to Netanyahu that the U.S. is “fully committed” to ensuring that Israel “has the capabilities it needs to defend itself,” according to the statement.

Additionally, the defense official said that “both leaders agreed to remain in close contact.”

Israel-Lebanon ceasefire extended to Feb. 18

The White House announced Sunday that the ceasefire between Israel and Lebanon will be extended until Feb.18.

Lebanon, Israel and the U.S. will also begin negotiations for the return of Lebanese prisoners captured after Oct. 7, 2023.

-ABC News’ Hannah Demissie

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Snow shuts down major California freeway just days after an LA County fire closed it

Snow shuts down major California freeway just days after an LA County fire closed it
Snow shuts down major California freeway just days after an LA County fire closed it
Tayfun Coskun/Anadolu via Getty Images

(LOS ANGELES) — Less than a week after a massive wildfire shut down California’s Interstate 5, a major freeway between Los Angeles and the San Joaquin Valley, the traffic artery was closed again due to heavy snow, authorities said.

Both the southbound and northbound lanes of Interstate 5 remained closed Monday morning and the California Highway Patrol said there is no timeline on when it will be reopened.

A CHP spokesperson told ABC News heavy snow caused the closure of I-5 from Castiac, near where the Hughes Fire shut down the freeway on Wednesday. The stretch of I-5 is also known as “The Grapevine.”

The area, as well as other mountainous areas north of Los Angeles, was forecast to get six inches to a foot of snow.

The Hughes Fire, one of a series of major blazes that have devastated the Los Angeles metro region since Jan. 7, erupted on Wednesday near Castaic Lake reservoir, about 45 miles north of downtown Los Angeles. The fire, fanned by strong Santa Ana winds, grew quickly to more than 10,000 acres, prompting the mandatory evacuation of about 30,000 residents and putting another 20,000 on an evacuation watch.

More than 4,000 firefighters responded to the blaze, attacking it from the ground and air and preventing it from damaging any homes, officials said.

The Hughes Fire is one of four active fires still burning across Southern California, according to the California Department of Forestry and Fire Protection. The Hughes fire was 95% contained on Monday morning, according to Cal Fire.

A weekend storm brought much-needed rain to Southern California. But the first significant rain in the area since June 1 was also accompanied by threats of a different natural disaster. Overnight, a flash flood warning was issued by the National Weather Service for Malibu, where homes and businesses were destroyed by the Palisades Fire, the largest of the blazes to devastate Los Angeles County this month.

Pacific Coast Highway west of Topanga Canyon Boulevard in Los Angeles County was closed around 4:30 p.m. Sunday due to mudflows, officials said. Mudflows in the burn-scarred areas of fire-ravaged Pacific Palisades also caused the shutdown of several main roads in the area, including the northbound lanes of Sunset Boulevard, officials said.

As of Monday morning, parts of Los Angeles County had received 1.2 inches of rain. Downtown Los Angeles had gotten nearly a half-inch of rain and Santa Monica received almost an inch. Meanwhile, Santa Barbara County got 1.75 inches of rain and Ventura County, south of Los Angeles, had received 1.36 inches.

An additional half an inch of rain is possible for parts of Southern California through Tuesday.

The rain was a welcomed sight to firefighters still battling active blazes in the region, including the Hughes Fire.

The Palisades Fire, which started on Jan. 7 and exploded to over 23,000 acres, was 94% contained on Monday. The fire destroyed nearly 7,000 structures, including homes and businesses, and killed 11 people.

The Eaton Fire, which also broke out on Jan. 7 in Pasadena and Altadena, was 98% contained on Monday. The Eaton Fire burned more than 14,000 acres, destroyed more than 9,400 structures, including homes and businesses, and was blamed for the deaths of 17 people.

The fourth active Southern California fire was the Border 2 Fire south of San Diego near the Mexico border. The blaze, which started Thursday afternoon, was 43% contained on Monday after burning more than 6,600 acres of wildland.

“Rainfall overnight and into the morning hours has led to a substantial decrease in fire activity,” Cal Fire said in an update Monday morning. “While not ending the possibility of fires in the long term, the saturation of grass and other light, flashy fuels will lessen the threat of the spread of the Border 2 Fire.”

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‘Violent rampage’: 1 pedestrian killed, several hurt in hit-and-run spree in Florida

‘Violent rampage’: 1 pedestrian killed, several hurt in hit-and-run spree in Florida
‘Violent rampage’: 1 pedestrian killed, several hurt in hit-and-run spree in Florida
Douglas Sacha/Getty Images

(TAMPA, Fla.) — One pedestrian was killed and several pedestrians and officers were hurt by a driver who allegedly drove into people in multiple intentional hit-and-runs in Tampa, Florida, Sunday night, police said.

“Tonight was a tragic night involving an extremely dangerous suspect” who was fatally shot by police, ending the “violent rampage,” Tampa Police Chief Lee Bercaw said at a news conference.

The incidents began just before 8:30 p.m. when officers responded to a report of a driver blocking someone’s car at a Dollar General, Bercaw said.

The two drivers argued and eventually the victim left, the chief said. Then, the victim noticed the suspect was following him to his house, and the two drivers threw items at each other, Bercaw said.

The suspect then “reversed out, hitting the victim with the car twice,” the chief said. “While this was happening, a friend of the victim was firing at the suspect in an attempt to stop this violent act.”

That first victim was listed in stable condition, the chief said.

At 8:33 p.m., the suspect drove his white Honda in circles and then struck and killed a man in an apparently intentional act, police said.

The suspect fled and then struck another pedestrian, who survived, police said.

At 8:39 p.m., the suspect was seen driving toward pedestrians on a sidewalk, police said. The driver struck another man who was hospitalized with serious head injuries but is expected to be OK, Bercaw said.

At 10:16 p.m., another call came in reporting that the driver intentionally veered into people, striking another person, Bercaw said.

Police chased the suspect and eventually stopped his car, Bercaw said.

“The suspect was getting out of the car, reaching for what [officers] believed was a weapon, and then shots were fired,” Bercaw said. “The suspect did not survive.”

Three officers were injured in that incident; none of their injuries are life-threatening, Bercaw said.

The 47-year-old suspect, whose name was not released, had an “extensive violent criminal history” and was released from prison about two years ago, the chief said.

“This was a violent night,” the chief said.

“Our thoughts are with the family of the man who was killed,” he added.

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3.8 magnitude earthquake strikes off coast of New England

3.8 magnitude earthquake strikes off coast of New England
3.8 magnitude earthquake strikes off coast of New England

(YORK HARBOR, MAINE) — A 3.8 magnitude earthquake struck off the coast of New England on Monday morning with shaking felt in Portsmouth, New Hampshire, and an hour away in Boston.

The quake was centered 10 kilometers southeast of York Harbor, Maine.

Homes and businesses in Concord, Massachusetts, reporting feeling the quake, according to local police.

This is a developing story. Please check back for updates.

 

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Nvidia, Microsoft shares tumble as China-based AI app DeepSeek hammers tech giants

Nvidia, Microsoft shares tumble as China-based AI app DeepSeek hammers tech giants
Nvidia, Microsoft shares tumble as China-based AI app DeepSeek hammers tech giants
Nvidia CEO Jensen Huang/ Photo Credit: PATRICK T. FALLON/AFP via Getty Images

(NEW YORK) — The emergence of China-based AI app DeepSeek sent shares plummeting on Monday for many U.S. tech giants, including chipmaker Nvidia and AI-backer Microsoft.

Nvidia, which helped catapult market wide gains in recent years, saw its share price plummet by more than 12% in early trading on Monday. Shares of Microsoft, a major stakeholder in ChatGPT-maker OpenAI, fell about 4.5%.

The tech-heavy Nasdaq fell more than 3% in early trading on Monday. The Dow Jones Industrial Average and S&P 500 also inched downward.

The DeepSeek chatbot — which responds to user queries, just like its U.S.-based counterparts — stands atop the Apple app-store charts. Early testing suggests that the quality of DeepSeek rivals that of U.S.-based AI products.

Developers of the system powering the AI, called DeepSeek-V3, published a research paper indicating that the technology relies on much fewer specialized computer chips than its U.S. competitors.

DeepSeek has emerged despite export controls issued by the Biden administration that prohibit U.S. manufacturers from selling such specialized chips to firms in China.

Ivan Feinseth, a market analyst at Tigress Financial, described DeepSeek as “the first shot at what is emerging as a global AI space race.”

“The potential power and low-cost development of DeepSeek is calling into question the hundreds of billions of dollars committed in the U.S,” Feinseth said in a note to clients on Monday.

Alphabet, the company behind AI chatbot Gemini, saw shares drop about 3% on Monday. The stock price of Amazon, which offers its own AI-fueled shopping assistant, also fell about 3%.

The dip interrupts a yearslong surge for many tech giants, driven in part by enthusiasm about the future of AI. The tech-heavy Nasdaq climbed more than 30% in 2024, sustaining much of its sky-high 43% growth over the year prior. Many analysts expected those robust gains to continue this year.

“When expectations are high, one skeptical headline can knock the market off its axis. That’s exactly what we’re seeing today,” Callie Cox, chief market strategist at Ritholtz Wealth Management, said in a statement on Monday.
 

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