China's official manufacturing index increased in November, boosting hopes for a sustained expansion in the crucial sector.
China's official purchasing manager's index jumped to 50.6 in November from 50.2 the previous month, the government said. Any reading above 50 indicates that factory conditions are improving in the manufacturing sector.
Another measure of manufacturing activity released Monday, HSBC's initial purchasing manager's index, also indicated improvement in the sector. At 50.5, the index is at its highest level in 13 months.
"This confirms that Chinese economy continues to recover gradually," said Hongbin Qu, an economist at HSBC.