Factory activity registers modest growth in March

China's factory activity expanded modestly for a second straight month in March, adding to a string of recent indicators pointing to a stabilizing economy amid improved sentiment in the manufacturing sector.

Data from the National Bureau of Statistics showed on Monday that China's official purchasing managers index for the manufacturing sector rose from 50.2 in February to 50.5 in March, its highest level in a year, staying above the 50 mark that separates expansion from contraction.

Analysts said the mood in China's manufacturing sector has improved, with both demand and supply picking up, buoyed by the optimism following the recently concluded two sessions, the annual meetings of the nation's top legislative and political advisory bodies.