International investors are increasing their investments in China's equity market, driven by optimism over the recent wave of new economic policies aimed at spurring growth and recovery, international media have reported.

Global hedge funds are pouring money into Chinese stocks at unprecedented levels, reported Bloomberg, listing U.S.-based Mount Lucas Management, Singapore's GAO Capital and South Korea's Timefolio Asset Management among those taking bullish positions on the Chinese markets.

While China's stock markets were closed for the recent seven-day National Day holiday, Chinese-related exchange-traded funds in Tokyo hit record highs on last Friday, reflecting growing confidence among Japanese investors in China's stimulus efforts, according to Nikkei Asia.

Since the September meeting of the Political Bureau of the Communist Party of China Central Committee that added to the economic measures, Goldman Sachs has issued a series of bullish reports on the Chinese stock market. It has upgraded its call on Chinese stocks to "overweight", reported Bloomberg.

"A massive move in a short amount of time for the world's second largest economy and that's going to have ripple effects lifting all emerging markets," Will McGough, director of Investments at Prime Capital Financial, told Forbes, referring to China's stimulus measures.

The measures has already lifted Chinese indexes and currency, European luxury stocks, global miners and commodity prices, the Wall Street Journal noted in an explainer. However, it added that China's next moves in the coming months could be crucial in determining the long-term direction of the Chinese economy.

At a press conference on Tuesday, Zheng Shanjie, head of the National Development and Reform Commission, outlined a series of actions to further boost the economy.

A key announcement was that investment projects worth 200 billion yuan ($14.14 billion) that are in next year's plans will be released in advance this year to support local governments in accelerating the preliminary work and construction.

Think tank China Finance 40 Forum said the government's plan to front-load the 200 billion yuan could drive a significant uptick in economic growth in the fourth quarter, and help China hit its annual target of five percent GDP growth.