China’s manufacturing expanded in June at the fastest pace this year, adding to signs that the government’s efforts to arrest a slowdown are helping to stabilize the world’s second-biggest economy.
The Purchasing Managers’ Index (CPMINDX) was at 51.0, the National Bureau of Statistics and China Federation of Logistics and Purchasing said today in Beijing, matching analysts’ median estimate and increasing from May’s 50.8. A similar index (MXAP) from HSBC Holdings Plc and Markit Economics rose to 50.7 from the previous month’s 49.4. Numbers above 50 signal expansion.
The official subindex of new orders tied for the highest level in more than two years, giving momentum that will help protect the government’s growth target of about 7.5 percent in 2014. A slumping property market and rising bad debts threaten to sap any gains in the second half.