Hong Kong shares fell to a fresh one-year low on Friday, while mainland stocks also tumbled, dragged down by AI-related plays, according to RTHK.

The Hang Seng Index closed down 405 points, or 1.76%, at 22,671 on turnover of HK$342.1 billion, taking its weekly loss to 5.2%, its worst since April 2025. The Hang Seng Tech Index fell 150 points, or 3.41%, to 4,255, bringing its weekly decline to 7.6%. The China Enterprises Index dropped 147 points, or 1.94%, to 7,460.

On the mainland, the Shanghai Composite Index fell 93 points, or 2.26%, to 4,027. The Shenzhen Component Index slid 561 points, or 3.44%, to 15,782, while the ChiNext dropped 177 points, or 4.07%, to 4,194. China’s CSI Artificial Intelligence Index fell 4.6% and the CSI 5G Communication Index tumbled 5.8%. Zhongji Innolight fell 5.3%.

RTHK said China’s onshore market has recently shown a K-shaped divergence, with hardware technology stocks rising while most other sectors, including traditional liquor and financial heavyweights, have declined. Non-ferrous metal shares fell 4.4% and liquor stocks dropped 3.1%.

UBS China equity strategist Meng Lei said he expects earnings growth for all onshore shares to accelerate to 11% this year from 3.9% last year, citing first-quarter results showing earnings recovering at a faster pace.

Elsewhere, South Korea’s Kospi dropped as much as 9% and ended down 519 points, or 5.81%, at 8,411. Japan’s Nikkei fell 3,005 points, or 4.15%, to 79,360, with SoftBank Group down more than 12% after a report of a delay in OpenAI’s initial public offering.