BENGALURU: Emerging Asian currencies and equities declined on Monday after stimulus measures from China failed to meet expectations of investors, who were also disappointed by recent economic data.

MSCI’s broadest index of Asia-Pacific shares outside Japan declined 0.9%, while its emerging market currency index was down 0.2%.

The Thai baht and the Malaysian ringgit were the worst performers on the day, retreating 0.6% each.

China unveiled a 10 trillion yuan ($1.4 trillion) debt package on Friday to ease local government financing strains and stabilise flagging economic growth, but did not announce any direct stimulus measures into the struggling economy.

Analysts at Maybank said in a note that the move “potentially preserves room to respond to any measures the Trump 2.0 administration may roll out against China.”

Donald Trump’s return to the White House has made investors wary given that he has promised to impose new and potentially hefty tariffs on goods from countries including China and Mexico.

“The broad-based tariff hikes will dampen exports outlook next year. Alongside USD strength and higher USD, EM Asia currencies will remain under pressure,” Ken Cheung, chief Asia FX strategist at Mizuho Bank said.

The Chinese yuan was trading largely unchanged, although equities closed 0.5% higher. Cheung said the yuan was subject to downside pressure due to Donald Trump’s victory and Beijing’s disappointing debt swap plan.