Alibaba's Hong Kong-listed shares fell by as much as 3.4% on Friday, part of a wider downturn among technology stocks. The decline was attributed to a combination of weak Chinese economic data for October, investor concerns about the valuations of AI companies, and fading expectations for an interest-rate cut in the United States. This negative sentiment in the market overshadowed other company news. The drop erased gains from the previous day, which were prompted by news of an AI-enhanced application. On the same day as the stock decline, Alibaba's B2B wholesale platform, Alibaba.com, announced a new AI-powered search tool called "AI Mode" designed to help merchants source products more efficiently. The tool is set to be released next month.