The Direxion Daily FTSE China Bull 3X Shares (YINN), a leveraged exchange-traded fund tracking Chinese stocks, soared nearly 13% in pre-market trading on September 24, 2024, following a sweeping stimulus package unveiled by China's central bank to revive the nation's slowing economy.

In a rare joint briefing, the People's Bank of China (PBOC) announced a series of measures aimed at boosting economic growth and stabilizing financial markets. The central bank cut a key interest rate by 10 basis points and lowered bank reserve requirements to the lowest level since 2018. Additionally, the PBOC injected liquidity into the banking system through reverse repo operations, providing at least 800 billion yuan ($113 billion) of support.

The stimulus package also targets China's troubled property sector, a major drag on economic growth. Measures include lowering borrowing costs on as much as $5.3 trillion in mortgages and easing rules for second-home purchases. PBOC Governor Pan Gongsheng stated that officials are studying the establishment of a stock stabilization fund to further support equity markets.

The concerted effort by Chinese policymakers to revive the economy and stabilize markets has fueled a rally in Chinese stocks and related assets like the leveraged YINN ETF. Investors view the stimulus package as a positive catalyst for Chinese equities, driving the surge in the YINN ETF, which aims to deliver three times the daily performance of the underlying FTSE China 50 Index.