More gloom for industry stocks

Chinese industrial stocks, such as Aluminum Corp of China Ltd listed at New York stock exchange, will extend declines until policymakers cut interest rates to stimulate construction and lending, according to Pension Partners LLC. The company, known as Chalco, slumped 4.8 percent to $12.03, the most since March 6, bringing its slide in April to 1.3 percent.

Investors are reluctant to buy industrial stocks until the government cuts interest rates, said Michael Gayed, chief investment strategist in New York at Pension Partners LLC. An interest rate cut would benefit industrial companies such as Chalco, helping stabilize the country's housing market, Gayed said.

China Daily - Agencies