Shanghai, Jan 20, 2026, 05:27 GMT+8 — Market has closed.
- China Mobile Limited Class A (600941) ended the session 0.23% higher, closing at 96.50 yuan.
- Traders are gearing up for China’s loan prime rate decision Tuesday, alongside expectations of stricter limits on leverage and rapid trading.
- New GDP figures revealed a slowdown in growth during the fourth quarter, maintaining pressure on policymakers to consider easing.
China Mobile Limited Class A shares edged up on Monday, finishing just shy of 96.5 yuan as investors braced for a crucial policy announcement in China. The Shanghai-listed telecom stock climbed 0.23%, closing at 96.50 yuan. (StockAnalysis)
Tuesday’s loan prime rate (LPR) takes center stage, setting the tone for most new and existing bank loans. The five-year LPR, in particular, affects mortgage pricing. According to a Reuters poll, every participant expects the one-year and five-year LPRs to remain unchanged at 3.0% and 3.5%. Still, some traders are betting on a policy rate cut coming later in the first quarter. (Reuters)
Monday’s economic data kept the discussion buzzing. China’s economy expanded 4.5% year-on-year in the fourth quarter, down from 4.8% in the third quarter, according to official figures. The full-year growth rate stood at 5.0%. Frederic Neumann, HSBC’s chief Asia economist, noted that “the high-frequency data numbers on retail sales… continue to highlight the ongoing challenges.” (Reuters)
Regulators are tightening the screws following a swift surge in onshore shares. China’s exchanges announced they’ll boost the minimum margin requirement for new borrowings to 100% from 80%, starting Jan. 19. This move forces investors to fully back their loans with cash, aiming to rein in leverage-driven trading. (Reuters)
The securities regulator is cracking down on speed again. According to sources speaking to Reuters, brokerages have been told to pull client-dedicated servers from exchange data centres. This move targets high-frequency trading—those ultra-fast, algorithm-driven plays that hunt for milliseconds in execution advantage. Shane Oliver, chief economist at AMP, said, “They do want to keep the markets focused on investment, as opposed to speculation.” (Reuters)
China Mobile’s Class A shares fluctuated between 95.75 and 96.75 yuan on Monday, lingering close to the bottom of their 12-month range, per Investing.com. The company is scheduled to release its next earnings report on March 27. (Investing)
In the last session, peers showed a mixed picture. China Telecom’s Shanghai-listed shares slipped 0.5% to 5.94 yuan. China Unicom ended unchanged at 5.15 yuan. (StockAnalysis)
Broker research is growing more cautious on state carriers’ near-term outlook, despite upbeat talk about “computing power” and other emerging segments. Goldman Sachs lowered its rating on China Telecom and China Unicom to neutral, according to a note on Aastocks, pointing to headwinds in traditional services and weaker growth in newer businesses. The firm also expects capex to increasingly focus on AI-related infrastructure. (AAStocks)
The downside is straightforward. Slower domestic demand and a persistently weak property sector may weigh on usage and corporate spending. Meanwhile, tighter controls on leverage and rapid trading risk draining liquidity during market sell-offs. Geopolitical tensions around telecom gear add pressure: China’s foreign ministry on Monday warned the EU against damaging Chinese firms’ investment confidence, following reports that Brussels plans to phase out suppliers like Huawei and ZTE from critical infrastructure. (Reuters)
The next key event comes quickly: the PBOC’s January loan prime rates release is set for Tuesday. Traders will also be keen to see if regulators push further after Monday’s restrictions on leverage and servers, searching for clues that the rulebook isn’t finished changing.
