SHANGHAI stocks declined today after statistics pointed to the fragile recovery of the world's second largest economy.

The key Shanghai Composite Index shed 4.91 points, 0.22 percent, to 2,241.92 points. Daily turnover was 79.2 billion yuan (US$12.8 billion).

China's fixed asset investment rose 20.6 percent from a year earlier to 9131.9 billion yuan (US$1472.9 billion) in the January-April period, slowing from a 20.9 percent growth in the first quarter, the National Bureau of Statistics said today.

Industrial output grew 9.3 percent in April from a year earlier, the bureau said, trailing the 9.4 percent median estimate in a Bloomberg News survey. Retail sales rose 12.8 percent in April, up slightly from 12.6 percent in March.

"Industrial output increased at a modest rate, indicating China's economic growth momentum remains weak," said Yao Wei, China economist at Societe Generale.

"Retail data was also dismal. The retail growth actually moderated last month if we take into account the inflation," Yao added.

An Essence Securities report said the stock market may continue to fluctuate with weak turnovers as the country's economic recovery is losing momentum while the central government maintains a prudent and neutral monetary policy.

Gold stocks declined after gold prices fell more than 1 percent to almost a two-week low on speculations that the US Federal Reserve may withdraw from its easing program.

Zhongjin Gold Corp lost 1.5 percent to 12.16 yuan. Zijin Mining Group Co, China's largest gold producer, decreased 1 percent to 3.09 yuan. Chifeng Jilong Gold Mining Co slipped 2.6 percent to 16.21 yuan.