China unveils largest stimulus package since pandemic but consumer confidence lags

China has announced its largest stimulus package since the pandemic, aiming to boost the struggling economy. This includes interest rate cuts and measures to support the stock market and the property sector. However, consumer confidence remains low, with many homeowners feeling pessimistic. Despite the stimulus, retail sales have only increased slightly this year, and industrial profits have dropped significantly. Analysts warn that the ongoing housing slump and high debt levels could lead to deflation. The government plans to intensify fiscal spending, but experts believe more concrete measures are needed to support households. The central bank's recent actions have positively impacted global markets, but economists express concern that the measures may not sufficiently address consumer needs. There are expectations for additional fiscal stimulus, but it may fall short of what is needed to fully revitalize the economy.