China stocks poised to reopen Tuesday with markets fixated on fiscal stimulus

Oct. 7, 2024 - CNBC

Qilai Shen | Bloomberg | Getty ImagesChinese investors are looking for more policy direction from China's top economic planning body on Tuesday, when mainland markets return from a week-long holiday. Before the week-long holiday, authorities unveiled a flurry of stimulus policies, including interest rate cuts, lower cash reserve requirements at banks, looser property purchase rules and liquidity support for stock markets.

Chinese major indexes have surged over 25% as investors cheer on the barrage of stimulus measures. Last week, China's CSI 300 blue-chip index extended a nine-day winning streak, surging over 8% Monday, before the market closed for a week-long holiday.

Now the government needs to add fiscal stimulus to maintain the rally's momentum, said Shaun Rein, founder and managing director of China Market Research Group...