Fresh economic data shows China's manufacturing sector continued to expand for a 29th consecutive month. However, the official Purchasing Managers' Index continued its decline in July, coming in at 50.7, down from June's 50.9.

That figure is higher than a median projection of 50.1, and importantly, comes in above the threshold of 50, which separates growth from contraction.

Meanwhile, the sub-index for input prices, a measure of how much factories pay for raw materials and intermediary goods, fell to 56.3 in July from June's 56.7, suggesting easing inflationary pressures.

Analysts point out July marks the fourth consecutive decline in PMI, indicating China's economy is still adjusting. They say the pace of the nation's growth is moderating, and authorities should keep a close eye on trends including consumption, investment and export. Meanwhile, analysts also suggest the country strengthen its economic structure reform.