China's industrial profits rise 11.6 pct in July

Major Chinese industrial firms saw their combined profits rise 11.6 percent year on year in July, quickening from the 6.3-percent rate seen in June that points to further evidence of a firming economy, official data showed on Tuesday.

The profits of industrial companies with annual revenues of more than 20 million yuan (3.24 million U.S. dollars) hit 419.55 billion yuan in July, the National Bureau of Statistics said in a statement.

In the first seven months, their profits rose 11.1 percent to 3.0 trillion yuan.

Tuesday's data came after a string of other economic indicators, from factory output and retail sales to foreign trade, showed the world's second-largest economy may be gradually stabilizing after a protracted slowdown.

Among the latest evidence, HSBC's preliminary reading for China's manufacturing sector showed the Purchasing Managers Index (PMI) rose to 50.1 in August, the highest level in four months.