Since the government said that it would carry out telecom reorganization to improve competition, China Mobile's stock has been heavily knocked in Hong Kong Stock Market. Its market value has shrunk by 26 billion US dollars because of the share price fall.
On Monday, China Mobile's stock was closed at 114.90 Hong Kong dollars per share on the Hong Kong Stock Exchange, and its fall reached 8.2%, thus setting a record for the largest single-day fall in more than six years. On Monday, Morgan Stanley Capital International Asia-Pacific Index (MSCI Asia-Pacific index), which measures the overall trend of Asian stock markets, fell by 2.1%, and the largest contributor to this fall was China Mobile. According to the telecom reorganization plan, the two major fixed-line telecom operators in China will also provide wireless services, which will pose a threat to China Mobile's monopoly in the Chinese mobile user market with 583.5 million users. Therefore, Goldman Sachs Group, an American investment bank, lowered China Mobile's stock investment rating to "sell" on Monday.