The Shanghai Composite edged up 0.1% to around 4,031 on Friday, while the Shenzhen Component gained 0.6% to 15,586, with the benchmarks headed for a mixed weekly performance as technology stocks remained a key drag on sentiment.
While investors remain convinced of the long-term growth potential of artificial intelligence, concerns have grown that valuations may have outpaced fundamentals amid escalating investment costs and intensifying competition across the industry, keeping the sector under pressure.
Chinese technology shares were among the biggest laggards, led by NAURA Technology (-6.2%), Huagong Tech (-1.8%), and Victory Giant Technology (-3.5%), as well as semiconductor names GigaDevice Semiconductor (-3.7%) and SMIC (-0.4%).
In contrast, notable gainers included energy stocks such as PetroChina (1.5%) and CNOOC (1.2%), alongside BYD (2.9%), Midea Group (3.3%), and Luxshare Precision Industry (4.6%).