BEIJING—China broke with extra than a quarter-century of custom by not issuing an financial progress target for 2020, a stark acknowledgment of the problems going through the world’s 2nd-greatest overall economy as it grapples with uncertainties around the coronavirus pandemic.

The unconventional move—it’s the very first time a official target has been omitted because the follow started in 1994—suggests Beijing’s leaders aren’t keen to unleash a large-scale stimulus following China’s sharpest contraction in four a long time. It foreshadows extra financial suffering…