The Evening: Chinese A.I. spooks investors

Also, bird flu has entered a new phase.

View in browser|nytimes.com January 27, 2025 By Matthew Cullen Good evening. Here's the latest at the end of Monday. Market turmoil from Chinese A.I. Trump's tariff threats against Colombia Plus, going beyond Dry January The New York Stock Exchange today.  Angela Weiss/Agence France-Presse — Getty Images A Chinese A.I. company rattled the tech world A month ago, almost no one in the U.S. had heard of the Chinese artificial intelligence start-up DeepSeek. Today, its reported breakthroughs prompted the erasure of hundreds of billions of dollars in market value from some of the world's biggest companies. Last week, DeepSeek explained how its new A.I. system could match the capabilities of cutting-edge chatbots from Google and OpenAI at a fraction of the cost. That revelation forced many investors to reassess their sky-high valuations of American tech giants. The S&P 500 fell 1.5 percent, the Nasdaq dropped 3 percent and Nvidia, the chipmaker hailed as an A.I. sensation, dropped about 17 percent and lost roughly $600 billion in market value. Jason Karaian, our deputy Business editor, said that analysts considered DeepSeek's emergence to be a "slap in the face" for investors who believed the A.I. race had already picked its winners. DeepSeek's chatbot also became the most downloaded free app in Apple's U.S. App Store today. Its performance raised questions about the unintended consequences of the U.S. trade restrictions against China. The controls have forced researchers there to come up with creative solutions that now have some experts wondering whether U.S. companies are even competitive in A.I. anymore. For more: Here's what to know about DeepSeek. President Trump in Las Vegas last week. Kenny Holston/The New York Times In a clash with Colombia, Trump showed his use of U.S. power President Trump did not host any Situation Room meetings before threatening yesterday to impose steep tariffs on Colombia, a top U.S. ally in Latin America. Instead, he used his own social media network and his willingness to wield the American economy as a weapon in an effort to persuade Colombia's president to accept military deportation flights. It worked: President Gustavo Petro backed down, and Trump emerged with real evidence that his tariff threats could help him achieve his political goals. There is little mystery about some of his next targets, my colleague David Sanger writes: Denmark, whose prime minister told Trump weeks ago that Greenland was not for sale, and Panama, where Secretary of State Marco Rubio is supposed to land in a few days to demand that it return control of the Panama Canal to the U.S. Both countries recently scrambled to find lobbyists to help them navigate the Trump administration. In other politics news: The acting attorney general fired more than a dozen prosecutors who worked with Special Counsel Jack Smith on the two federal prosecutions of Trump. Defense Secretary Pete Hegseth, in his first full day at the Pentagon, said more military personnel would most likely be dispatched to the southern border soon. Trump's appointees are planning to reassign the Justice Department's top career officer. Also, the department's chief corruption prosecutor resigned. Oil executives embraced Trump, but said they did not plan to increase production unless prices rose. No one disputes that Tulsi Gabbard is an unorthodox pick to lead national intelligence. Some say it's an advantage; others say it's a threat. A federal inmate sued the Trump administration over an executive order that requires transgender women to be housed with male prisoners. A Holocaust survivor at the commemoration of the 80th anniversary of the liberation of Auschwitz today.  Kacper Pempel/Reuters Auschwitz ceremonies were held with the far right rising Dozens of world leaders joined a group of fewer than 50 Nazi death camp survivors in Poland today to commemorate the 80th anniversary of the liberation of Auschwitz, where more than 1.1 million people, mostly Jews, were murdered. The remembrance comes as Germany and the rest of Europe experience a rise in hard-right politics that is widely viewed as an echo of the nationalism that brought Hitler to power in the 1930s. Over the weekend, Elon Musk told Germany's rising far-right party, the Alternative for Germany (AfD), that the country had "too much of a focus on past guilt." Related: Friedrich Merz, who leads in the polls for Germany's chancellor election next month, opened the door to working with the AfD on immigration restrictions. Bird flu has infected more than 900 herds of dairy cattle and dozens of people, killing one. Natalie Behring/Getty Bird flu has entered a new phase "It's time to take the bird flu seriously," our science reporter Apoorva Mandavilli said. A pandemic is not inevitable, scientists say. But a series of developments over the past few weeks, including the first U.S. death from the virus and cattle herds that have shown signs of reinfection, indicated that the possibility was no longer remote. Here's what to know. More top news Middle East: A cease-fire in Gaza appeared to hold as tens of thousands of Palestinians returned home and Israelis awaited the release of dozens of hostages. Los Angeles: A new video appears to show sparking on a power line near the origin of the fire that blazed through Altadena, Calif. New York City: Mayor Eric Adams "hasn't been feeling his best" and will keep a limited public schedule this week as he undergoes routine medical tests, his office said. Ukraine: The defense minister fired the head of a procurement agency, who said the move was illegal and vowed to remain. The standoff could disrupt the military's weapons supply. Florida: In response to social media outrage over test questions about terrorism, officials are scouring textbooks for antisemitism. Europe: After the ouster of Bashar al-Assad, the E.U. has prepared to lift some sanctions on Syria. China: Beijing's mysterious dam project in earthquake-prone Tibet — set to be the world's biggest — has alarmed neighbors and experts. Congo: The M23 militia, funded and directed by Rwanda, said it had seized the city of Goma, one of the biggest escalations of the conflict between the two countries in years. Long Island: In 1990, Avianca Flight 52 crashed and a 17-year-old girl was pulled from the wreckage. Surviving has been an ordeal. TIME TO UNWIND The Lanvin fashion show in Paris yesterday.  Vanni Bassetti/WWD, via Getty Images A Paris debut with standout evening wear The stakes were high this weekend for the designer Peter Copping. He was making his debut for Lanvin, the storied fashion house that had drifted into irrelevance in recent years. "The result," our critic Vanessa Friedman wrote, "had a no-nonsense power." She was particularly impressed by a pair of gold and black evening looks. "If someone doesn't wear them to at least one award show this season, the stylist community is not doing its job," Vanessa said. Hermès: Véronique Nichanian, the brand's men's creative director, has been at her post for 35 years. But her new collection exhibits the ingenuity of a fresh hire looking to make her mark. Kate Dehler Dry January is almost over. Now what? Many people who take part in Dry January, the popular monthlong sobriety challenge, report benefits by the end of the month. But then Feb. 1 comes around and a new obstacle arises. Should you try to stay sober for as long as possible? Return to old habits? Something in between? We asked experts for tips. Even asking those questions, they said, can help lead to healthier choices. Matteo de Mayda for The New York Times Dinner table topics Venice in winter: A writer and his daughter wandered the ancient city at night, guided by a poet. Donor royalty: We spoke with the Tangs, a couple who have recently become the center of New York cultural philanthropy. What's your major? Some say "sports" should be an acceptable answer. Sweets junkie: Here's how our writer's trip to quit sugar became a journey into hell. WHAT TO DO TONIGHT Ryan Liebe for The New York Times Cook: Eleven Madison Park's granola recipe is simple and bulletproof. Sip: There are plenty of great wines under $20. Watch: Here are five action movies to stream right now. Read: "Strange Pictures" is one of the best new horror books to check out. Tidy: You'll feel more organized after a little "soft decluttering." Exercise: Trainers recommended these full-body workouts. Compete: Take this week's Flashback history quiz. Play: Here are today's Spelling Bee, Wordle and Mini Crossword. Find all our games here. ONE LAST THING Linda Xiao for The New York Times It's dumpling week There is never a bad time to eat a pocket of dough stuffed with something delicious. But this week, around Lunar New Year, dumplings take on extra meaning: For some, they symbolize wealth and prosperity for the year ahead. To celebrate the occasion, five Times Cooking writers shared the dumplings they love most, with recipes and videos for how to make them. Have a flavor-filled evening. Thanks for reading. I'll be back tomorrow. — Matthew Sean Kawasaki-Culligan was our photo editor today. We welcome your feedback. Write to us at evening@nytimes.com. Writer: Matthew Cullen Editors: Carole Landry, Whet Moser, Justin Porter, Jonathan Wolfe Need help? Review our newsletter help page or contact us for assistance. You received this email because you signed up for The Evening from The New York Times. To stop receiving The Evening, unsubscribe. To opt out of other promotional emails from The Times, including those regarding The Athletic, manage your email settings. To opt out of updates and offers sent from The Athletic, submit a request. 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