Summary Box: Productivity, factory orders increase in latest hopeful signs of recession’s end

Summary Box: Productivity, factory orders rise

MORE STRONG NUMBERS: Productivity in the second quarter posted its best showing since 2003, while cost-cutting by companies pushed labor costs down by the most in nine years. A separate report showed factory orders climbed in July, the fifth gain in six months.

BRIGHT SIDE: Analysts viewed the reports as further signals that the recession is ending. Many forecast that the overall economy, as measured by the gross domestic product, will expand at a healthy rate above 3 percent in the current July-September quarter.

DARK SIDE: Economists worry the rebound won’t be long-lasting, given continued pressures on the labor market. For the recovery to last, companies need to begin rehiring workers so incomes will resume growing and households will have the resources to boost consumer spending, which accounts for about 70 percent of economic activity.