We study chiral deformations of N=2 and N=4 supersymmetric
gauge theories obtained by turning on τJtrΦJ
interactions with Φ the N=2 superfield. Using localization, we
compute the deformed gauge theory partition function Z(τ∣q) and the
expectation value of circular Wilson loops W on a squashed four-sphere. In
the case of the deformed N=4 theory, exact formulas for Z and W
are derived in terms of an underlying U(N) interacting matrix model replacing
the free Gaussian model describing the N=4 theory. Using the AGT
correspondence, the τJ-deformations are related to the insertions of
commuting integrals of motion in the four-point CFT correlator and chiral
correlators are expressed as τ-derivatives of the gauge theory partition
function on a finite Ω-background. In the so called Nekrasov-Shatashvili
limit, the entire ring of chiral relations is extracted from the
ϵ-deformed Seiberg-Witten curve. As a byproduct of our analysis we
show that SU(2) gauge theories on rational Ω-backgrounds are dual to
CFT minimal models.Comment: 33 pages, 2 figure, in this version we have added two new references
and a detailed comparison with the results obtained in one of these tw