(Bloomberg) -- The yuan declined while Chinese stock futures whipsawed after authorities announced a total 10 trillion yuan ($1.4 trillion) program to refinance local government debt, signaling investors weren’t impressed with the latest attempt to support the economy.

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The yuan sank as much as 0.6% in offshore trading, pulling its Asian peers such as the Australian and New Zealand dollars weaker. China’s 10-year bond yield edged to as low as 2.08%, a level unseen since September.

Futures on the FTSE China A50 Index plunged more than 5% after an initial announcement highlighted a 6 trillion yuan package. The contracts pared losses to under 4% at the close of the session as authorities subsequently detailed another 4 trillion yuan for the program.

Ahead of Friday’s press conference, China’s onshore benchmark CSI 300 Index finished the day 1% lower.

The news also sent ripples in global markets, causing declines in oil and iron ore prices, reflecting worries that a protracted slowdown in the world’s No. 2 economy will cut demand for key commodities.

“The debt swap quantity and time period suggest that the China government is keeping some stimulus gunpowder dry ahead of the Trump administration next year,” said Gary Tan, a portfolio manager at Allspring Global Investments. “We expect more follow up policies to be announced.”

The plan to defuse local government debt, long considered a time bomb in the Chinese financial system, came after a week-long meeting of the country’s top legislators that concluded after the US presidential election and Federal Reserve’s latest policy meeting.

Investors had hoped for the high-level gathering to also roll out potent fiscal spending to counter the threat of tariffs under a second Donald Trump presidency. New stimulus measures may renew optimism that emerged Thursday after October’s robust exports helped offset concerns over slow investment growth and weak consumption.

China will raise local governments’ debt ceiling to 35.52 trillion yuan, which will allow them to issue six trillion yuan in additional special bonds over three years to swap hidden debt, the Xinhua News Agency reported on Friday. Authorities later said local governments will be able to tap another total of 4 trillion yuan in new special local bond quota over five years for the same purpose.

The plan approved by the Standing Committee of the National People’s Congress is close to the upper range of forecasts by most economists as China seeks to curb financial risks and shore up growth. It is the first time since 2015 that authorities raised the debt ceiling for local governments in the middle of a year.