Electronics and auto giants moved fast to trim huge losses in the first quarter, turning out positive surprises that may have muzzled concerns they were heading into another "lost decade" like the one Japan slid into in the 1990s.
But even company executives admitted the smaller-than-expected losses for the April-to-June quarter were mostly a result of Draconian cost-cutting efforts and not real recovery in consumer demand.
Stock markets also found a silver lining in weak signs of a rebound in appliance and car sales, but many in the industry cautioned that demand may taper off once government stimulus measures and "cash for clunkers" programs expire.