Damian Grammaticas BBC Hong Kong correspondent

In Hong Kong there has been some good news for what is one of Asia's most beleaguered economies. New economic data just released shows Hong Kong has pulled out of recession - but only just.

There are still fears that the growth might not last because of weaknesses in the territory's domestic economy, and problems in the United States.

Hong Kong's economy is Asia's laggard, still struggling while the rest of the region is powering ahead.

But after being battered by two recessions in the past four years, the latest figures show the economy has edged back towards growth.

It expanded by just 0.5% in the months from April to June this year. This was the fastest three-month growth for nearly two years.

Road to recovery?

The news has brought to an end nine months of contraction, and Hong Kong's government now says it expects better prospects for the rest of the year.

The government has now confidently raised its forecast for full year growth from 1.0% to 1.5%.

But dig a little deeper and there is not much for Hong Kong, once one of Asia's powerhouses, to cheer about.

Much of the change has come because of revisions to the way the figures are calculated.

Go-between

The rest is not so much from improvements in Hong Kong's own economy, but because it is handling more imports and exports heading to and from China.

That trade is vulnerable because much of it is with the United States, where consumers are still not feeling confident.

And Hong Kong is suffering from the same blight. The property and stock markets, the territory's traditional sources of wealth, are struggling. Unemployment is at a record high of almost 8%.

In addition wages are being cut, prices have been falling for most of the past four years, and both consumers and businesses are refusing to spend, keeping their wallets firmly shut until they are sure better times are coming.