Despite China's stimulus measures geared towards strengthening its flagging economy, Asian stocks dipped this Thursday. China's Shanghai Composite dropped 0.6% while Hong Kong's Hang Seng Index fell 0.3%. Beijing's stimulus package, which included tax breaks for small businesses and more railway investments, apparently had little effect on the market this Thursday. In an interview with MarketWatch, Chief Analyst at Danske Bank Allan von Mehren explains why Chinese stocks slid. "The package is quite small in size and mainly aimed at underpinning the economy through supply-side measures. China isn't aiming to boost growth, but simply to stabilize it in order to meet their 7.5% target for growth this year," he said.
Other Asian stock markets did not do so well either. Japan's Nikkei Stock Average also fell 1.1% while South Korea's Kospi also suffered a minor decline at 0.1%. There was also little change for Australia's S&P/ASX 200 at the end of trading day.
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