China factory growth fastest in three months

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, though analysts expect 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.