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STORY: Hong Kong's Hang Seng index, China's best performing major market this year, closed 9.4% lower - its heaviest fall since 2008.

And although the Shanghai Composite and blue-chip CSI300 closed higher, they both pared gains of more than 10% seen early in the day.

Before the Golden Week national holidays that began on Oct. 1, China announced what Konstantinos referred to as the "first arrow"of its most aggressive stimulus measures since the pandemic, which was "essentially a scheme where Chinese corporates can use debt to basically fund share buybacks...."

That sent the CSI300 soaring to a 25% gain over five sessions.

But the "second arrow", Konstantinos explained, offered few specifics on fiscal policy, which includes "trying to help any of the underlying fissures in the Chinese economy, which deal with a massive housing bubble that's in the slow process of unwinding, rampant youth unemployment and basically economic stagnation."