Alibaba (BABA) stock is down 31% year to date at $99.91, almost exactly matching the 32% drop in the KraneShares CSI China Internet ETF (KWEB) to $23.17, while the SPDR S&P 500 ETF (SPY) is up 12% to $765.64. PDD Holdings fell 32% to $77.58 and JD.com fell 9% to $25.13, so the article treats the decline as a sector-wide retreat from Chinese internet stocks. The article notes that Alibaba and PDD operate marketplace models exposed to the same sentiment swings, while JD.com's inventory and logistics model has held up better. Alibaba's AI push, including its Qwen models and Alibaba Cloud infrastructure, is the part least overlapping with PDD, though heavy spending has pressured near-term profitability. The article says the sign of a breakout would be Alibaba outperforming KWEB, a gap that has not opened so far this year.
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