China's gross domestic product growth is still likely to slow in 2Q despite a stronger-than-expected June purchasing managers index, says ING's Lynn Song in a note. The manufacturing PMI recovered to 50.3 in June, from 50.0 in May, data from the National Bureau of Statistics showed. Nonmanufacturing PMI also stayed in expansionary territory. Despite the data beating downbeat expectations, they still indicate relatively tepid activity in China's economy, which could lead to 2Q economic growth slowing to 4.6% on year, says Song. Market participants are likely to closely watch July's Politburo meeting for signals of further stimulus, which ING anticipates could come in the form of consumption or investment support instead of a large-scale push. (megan.cheah@wsj.com)