China’s fiscal expenditures have risen significantly since September as the government expands spending to stimulate growth and enhance liquidity across key sectors.

While monetary easing has provided some support, it may not be enough to lift domestic growth. Investors are still looking for stronger fiscal measures to stimulate demand and sustain confidence in the market.

Recent improvements in market liquidity have eased immediate financial risks, yet the approaching US election remains a source of potential volatility, making a cautious and defensive stance advisable in the near term.

Households can only increase borrowing sustainably when income levels rise. Higher earnings improve debt servicing capacity, reduce financial strain, and support healthier consumption and investment.

Markets are closely watching renewed expectations for Chinese policy stimulus, with optimism centered on potential support for the property sector.