China's markets might lose momentum as NDRC chief pledges new economic measures without new major stimulus
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Update time : 2024-10-10 16:16:16
Zheng Shanjie, chairman of China's National Development and Reform Commission (NDRC), pledged several economic measures at a press conference, though no major new stimulus plans were introduced. This led to a decline in investor enthusiasm, causing the rally in Chinese markets to lose momentum.
The NDRC will expedite special-purpose bond issuance to local governments to stimulate regional growth, with CNY1 trillion in sovereign bonds already deployed for local projects. An additional CNY100 billion investment plan will be released ahead of schedule by the end of the month.
While market gains slowed, with the CSI 300 index reducing from over 10% to 5%, Zheng expressed confidence in meeting the country's growth target for 2024. Analysts noted that more substantial fiscal measures might be needed to sustain economic recovery, given ongoing challenges in the property market and weak domestic demand.
