Asian stocks hardly budged in early holiday-thinned trade on Monday, with investors nervous as to how markets in mainland China would react to government economic stimulus promises over the weekend which, though broad, were light on detail.

Minister of Finance Lan Foan pledged to "significantly increase" debt, but left investors guessing on the overall size of the stimulus, a vital detail needed to gauge the longevity of a stock market rally.

Chinese stocks have been on a tear since the government late last month announced its most aggressive stimulus since the pandemic, though some of that rally has since lost momentum as investors await further details of the support measures.

"Having gone into the weekend keenly anticipating an explicit China fiscal stimulus announcement at Saturday's MOF briefing, the fact this was not forthcoming risks the market reacting with disappointment at the start of this week," said Ray Attrill, head of FX strategy at National Australia Bank.

"Uncertainty over the overall extent of fiscal loosening and to what extent there will be direct help for consumers will keep markets on tenterhooks."

MSCI's broadest index of Asia-Pacific shares outside Japan,opens new tab was last up 0.12%,It fell 1.7% last week.

Trading in Asia was thinned on Monday with Japan out for a holiday. (Cay)

Source: reuters