Beijing — China’s factories grew at the quickest pace in three months in June, buoyed by strong new orders in a sign of stabilising growth, although analysts say a further slowdown in the world’s second-biggest economy is inevitable as Beijing cracks down on debt risks. The surprising strength in the vast manufacturing sector defied expectations for a cooling, thanks to robust external demand that underscored why global central banks were confident enough to switch gears to a more hawkish stance. The official manufacturing purchasing managers index (PMI) was at 51.7 in June, the 11th consecutive month of expansion, and up from 51.2 in May, a monthly survey by the National Bureau of Statistics showed on Friday. It was the fastest pace since March and beat the 51 level predicted by analysts in a Reuters survey. The survey supports broad consensus that China’s economy is stabilising at a moderate pace rather than slowing sharply, suggesting that Beijing is on track to meet its annual g...
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