China's Steel Price Index up for First Time in 3 Months During May

BEIJING, June 18 -- The composite steel price index, a general measure of domestic steel prices compiled by the China Iron and Steel Association, rose for the first time in three months in May after government-led investment pushed up demand, the association said Wednesday.

    The index increased 2.58 points, or 2.7 percent, to 98.14 points at the end of May from a month earlier, but it was down 58.72 points, or 37.43 percent, year on year.

    Government stimulus measures had pushed up domestic demand, but world demand remained low, with the global economy still constrained by the fallout from the financial crisis, said the association.

    It urged Chinese steelmakers to eliminate obsolete and excess capacity to balance demand and supply.

    (Source: Xinhua)