Chinese Economy in Limbo Amid Government's Consumption Plans

Chinese stocks remained nearly unchanged as the government unveiled plans to boost consumer spending. The mixed data on economic activities and concerns over the lagging property sector overshadowed efforts. Hong Kong shares reacted tepidly to the government's special action plan aimed at stabilizing the economy.

Chinese stocks ended Monday unchanged as the government's initiatives to boost domestic consumption failed to ignite investor enthusiasm. Traders assessed mixed economic data, cautious of ongoing uncertainties.

On Sunday, China's State Council unveiled a 'special action plan' to stimulate spending, including increased income and childcare subsidies. However, investors await announcements of further details.

Amid rising retail sales and a nagging property slump, China's economic outlook remains uncertain. UBS predicts further government stimuli by 2025 to counter external impacts like U.S. tariffs. Meanwhile, consumer staples reversed initial gains, signaling market skepticism.

(With inputs from agencies.)