diff --git a/src/sugar3/graphics/palettewindow.py b/src/sugar3/graphics/palettewindow.py
index 1307a204..45ff543c 100644
--- a/src/sugar3/graphics/palettewindow.py
+++ b/src/sugar3/graphics/palettewindow.py
@@ -1106,7 +1106,8 @@ class CursorInvoker(Invoker):
         return False
 
     def __leave_notify_event_cb(self, button, event):
-        self.notify_mouse_leave()
+        if event.mode == Gdk.CrossingMode.NORMAL:
+            self.notify_mouse_leave()
         return False
 
     def __button_release_event_cb(self, button, event):