China's factory activity contracted for the second consecutive month in June with a PMI of 49.5
Investors hope key Communist Party meeting in mid-July will revive economy
Non-manufacturing PMI fell to 50.5 from 51.1
Official manufacturing PMI and new manufacturing export orders remained unchanged at 49.5 and 48.3 respectively
China's factory activity contracted for the second consecutive month in June, according to data from the National Bureau of Statistics. The official manufacturing purchasing managers index (PMI) stood at 49.5, unchanged from May, indicating weakness in an area that the Chinese government is relying on to drive the economy.
The contraction in factory activity was also reflected in the non-manufacturing PMI, which fell to 50.5 from 51.1.
Despite this contraction, investors are pinning their hopes on a key Communist Party meeting in mid-July to revive the sluggish economy.
The official manufacturing PMI and new manufacturing export orders remained unchanged at 49.5 and 48.3, respectively.
China's factory activity has been a concern for economists as it is a key indicator of the health of the world's second-largest economy.
The delayed third plenum will see top Communist Party officials gather in Beijing to unveil major economic strategies for the next five to 10 years.
