WASHINGTON — The economy is still caught between slowing growth and stubborn inflation pressures, new government reports showed today.

Labor costs, boosted by bonuses to high-income workers, soared at the end of last year, raising inflation worries, while factory orders plunged in January by the biggest amount in 6 1/2 years.

The reports, analysts said, highlighted the difficulties faced by the Federal Reserve as it is confronted by the opposing forces of slowing growth and rising inflation.

The Labor Department reported that productivity, the amount of output per hour of work, rose at an annual rate of 1.6 percent in the October-December period last year, just about half of the original estimate.

But the cost of the labor needed to produce each unit of output soared by 6.6 percent, far higher than the 1.7 percent initial estimate and well above the 3.2 percent increase Wall Street was expecting.

OVERSEAS MARKET RECOVERY HELPS LIFT OIL PRICES

NEW YORK — Oil prices rose today as global stock markets recovered some ground after week-long declines, and strategists pointed out that gasoline stocks are slipping while demand keeps rising.

Light, sweet crude for April delivery rose 62 cents to settle at $60.69 a barrel on the New York Mercantile Exchange, after dipping briefly to $59.65 a barrel. The contract fell 2.5 percent Monday to settle at $60.07 a barrel, the lowest for a front-month contract since Feb. 21.

Turmoil in global financial markets, as well as deflating gasoline futures, had weighed on crude oil prices over the past two sessions, due partly to some concern that global growth may be slowing. But as stock markets in Asia, Europe and the United States rebounded today, traders also bid up oil contracts.

In their reports to clients, several investment banks pointed to fundamental strength in the oil market.

COMPETITION HEATS UP FOR INTERNSHIPS

MILWAUKEE — First it was low pay, then no pay. Now it's you pay. As more students realize the value of internships for their future career, competition for the privilege of making copies, getting coffee and answering the phones is getting fierce. A slew of businesses, with names like Fast Track and University of Dreams, charge hundreds to thousands of dollars to help students identify potential employers and find housing.

CLEARER INFORMATION SOUGHT ON 401(K)

WASHINGTON — A key House lawmaker said today that Congress needs to consider making companies that manage 401(k) plans give clearer and more complete information on fees, which can drain thousands of dollars from a worker's retirement savings.

Current law does not explicitly require disclosure to investors of comprehensive information on fees connected with 401(k) plans, the employer-sponsored schemes under which workers make tax-deferred contributions from their salaries.

Rep. Howard "Buck" McKeon of California, the committee's senior Republican, warned at the hearing against congressional action that could have unintended consequences, heaping new requirements for 401(k) plan managers atop current ones and overwhelming investors with data.

CHRYSLER'S VALUE IS BIG QUESTION

DETROIT — As two private equity firms examine Chrysler's books and consider making offers to buy the company this week, they'll try to answer a question whose answer is uncertain: How much is the automaker worth?

Although Daimler-Benz AG paid $36 billion for the company in 1998, industry analysts now place its value at anywhere from nothing to $13.7 billion. Estimates vary with the value placed on assets such as brand names, factories and materials, all weighed against Chrysler's estimated $19 billion long-term liability to pay health care benefits for unionized retirees.

Some analysts say the liability exceeds the value of the assets, meaning that German parent DaimlerChrysler AG would have to pay someone to take Chrysler. Others say the company is worth more to the right buyer.

Experts from one of the equity firms, Cerberus Capital Management LP, were at Chrysler's Auburn Hills headquarters on Monday, said a company official who requested anonymity because the talks are confidential. Representatives of the Blackstone Group are to arrive later in the week, the official said Tuesday.

BAUSCH & LOMB RECALLS RENU MULTIPLUS

ROCHESTER, N.Y. — Bausch & Lomb Inc., already humbled by a worldwide recall of its ReNu with MoistureLoc contact lens solution, said today it is recalling about 1.5 million bottles of ReNu MultiPlus because trace amounts of iron could cause the cleaner to lose effectiveness earlier than normal.

The optical products maker also reported a modest drop in fourth-quarter and full-year sales in 2006, citing sluggish contact lens sales amid a slower-than-expected recovery from last spring's recall of MoistureLoc, which was blamed for an outbreak of severe fungal eye infections.

The company said it has carried out a limited voluntary recall of 12 lots of its ReNu MultiPlus solution after getting three customer reports of discolored solution.