Will Asia's economic recovery lead the way?

MANILA — The latest economic indicators from the world's advanced economies remain mixed. There are some signs of stabilization — industrial output and consumer spending are, for example, falling much more slowly than they were, but stabilization does not mean imminent recovery. A decline is still a decline.

Unemployment is still on the rise. Consumer and business confidence has not recovered. It is clear that the recession has yet to bottom out in the United States and Europe.

By contrast, signs are much more favorable in Asia. Markets, which are typically the first indicators of recovery, are rebounding much more sharply here. While the Dow Jones Industrial Average rose 11 percent in the second quarter, Japan's Nikkei 225 jumped 23 percent. Equity markets in China rose 25 percent, India 53 percent and Vietnam 60 percent.