Indexes augur well for China

Easing producer prices in May to spur increased demand for industrial goods

China's consumer inflation climbed from an 18-month low in April to usual levels in May, while factory price deflation eased, indicating that the sluggish economy is slowly stabilizing.

The consumer price index, the main gauge of inflation, rebounded to a four-month high of 2.5 percent in May from a year earlier, quickening from a worrying 1.8 percent rise in April, the National Bureau of Statistics said on Tuesday.