China's recent stimulus measures to revive its slowing economy have triggered a sharp rise in Hong Kong’s Hang Seng Index, which has surged 18% since late September, marking its biggest two-week gain in two decades. However, analysts warn that the market’s short-term optimism may not translate into long-term economic recovery.

So far, China has focused on monetary policy adjustments, such as cutting interest rates and reducing cash reserve requirements for banks. However, large-scale fiscal measures, like increased public spending or tax reforms, are yet to be introduced, raising concerns about the sustainability of the recovery.

Experts argue that the core issue lies in low consumer confidence, and without robust fiscal policies, the current rally might not be enough to spur broader economic growth. Without significant government spending, the current boost may provide only temporary relief, leaving deeper structural problems unresolved.