On January 28 (Reuters) - Retail investors set a new record by purchasing a substantial amount of Nvidia stock on Monday, reacting to concerns surrounding a low-cost artificial intelligence model introduced by the Chinese startup DeepSeek that caused a significant 17% drop in Nvidia's shares, translating to a loss of $593 billion in market value.

According to data from Vanda Research, retail investors acquired a net total of $562.2 million worth of Nvidia shares on Monday, marking the highest volume recorded since 2014.

Retail investors have persistently shown interest in Nvidia shares over recent years, with purchases amounting to approximately $7.3 billion in the last quarter, as reported by a New York-based market research and analysis firm. However, this figure represents nearly a halving from the peak in quarterly purchases seen in September 2024.

Despite the surge in retail investments, Nvidia's position has been fragile following a market downturn triggered by the emergence of a cost-effective Chinese AI model. This event prompted investor concerns regarding the lofty valuation and market dominance of AI industry leaders.