India’s Allure Diminishes as Investors Flock to China’s DeepSeek-Driven Rally

India’s financial markets are facing challenges as investors increasingly turn their attention to China, where DeepSeek’s rise is fueling a market rally. DeepSeek, a leading AI and technology firm, has seen its stock surge by over 25% in the past month, boosting confidence in China’s tech sector and drawing foreign investment away from India.

India’s markets have struggled with regulatory uncertainties and slower economic growth, leading to a decline in investor interest. “The contrast between China’s tech-driven growth and India’s current challenges is stark,” said a market analyst. “Investors are seeking higher returns in China’s dynamic tech sector.”

Indian policymakers are now exploring measures to regain investor confidence, including reforms to attract foreign capital and boost economic growth. However, the immediate focus remains on China, where DeepSeek’s innovations are reshaping the global tech landscape.