File photo of Nicholas Lardy, a senior fellow at Washington, D.C.-based think tank the Peterson Institute for International Economics (PIIE). (Photo credit: PIIE)

Andy Rothman, an investment strategist at San Francisco-based investment firm Matthews Asia, wrote in a recent analysis that China's V-shaped economic recovery continued for a fourth consecutive month in June, led by strong domestic demand.

The recovery of sales of autos and homes in China last month reflects that "middle-class and wealthy consumers have both sufficient money and enough confidence in the future to spend it," Rothman said.

Noting that restaurant and bar sales in China were still down last month, Rothman said these businesses that require customers to gather in confined spaces are likely to take a long time to fully recover.

Lardy told Xinhua that he thinks China's economic recovery will continue in the second half of the year, since the country has the COVID-19 under control.

He highlighted that China has managed to "put the brakes" on small outbreaks in Wuhan and more recently in Beijing with massive testing, quarantining and contact tracing measures.

"I think they have the resources and the commitment to avoid a negative effect of the coronavirus in the second half," Lardy said. "My view is that the virus is not likely to be a significant factor going forward."

The economist said he thinks China is going to grow by 2 to 3 percent this year, a more optimistic projection than that of the International Monetary Fund (IMF) and the World Bank, which both forecast a growth rate of roughly 1.0 percent for China.