The Chinese Academy of Social Sciences has released a report on the second quarter macro economy. The report forecasts that the economy is expected to grow at about 6.6 percent, while consumer price inflation is likely to rise 2 percent for the year.

It says China's macro economic administration should focus on supply side reform in the second half of the year, and guarantee the lowest economic growth target.

CASS says China's economy will still face downward pressure in the second half, and suggests the government should deepen economic reform and restructuring, and optimise leverage levels.