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Lu Zhengwei, chief economist with Industrial Bank, said he expected the central bank to lower banks' reserve requirement ratio by 50 basis points in August, but there would be no further interest rate cuts.

The consumer price index (CPI), a major gauge of inflation, is estimated to grow by 1.7 percent year on year in July, slower than the 2.2-percent growth seen in June, the Industrial Bank said in a report, citing the slowing economy and a high comparative base from last year.

Authorities have discharged some water from mid- and large-sized reservoirs along the Yangtze River, including the Three Gorges Reservoir, to prepare them for storing floodwaters, according to the report.

The second stage of the sandstorm control project for 2013-2022 will cover 138 counties in Beijing, Tianjin, Hebei, Shanxi, Inner Mongolia and Shaanxi, according to the plan.

Zhang Yansheng, director of the Institute for International Economics Research under the National Development and Reform Commission, said as a lagging indicator, trade data usually reflect situations three to six months prior, and are susceptible to seasonal and base factors.