Euro-zone unemployment hits 11-year high of 10%

Unemployment in the 16-nation euro zone reached 10% in November, the highest level in eleven years. According to data from Eurostat, unemployment rose to 10% to from 9.9% in October. Economists had forecast November unemployment of 9.9%. Over 15.7 million people were unemployed, and in the broader 27-nation European Union, there were 22.9 million people unemployed. Unemployment was a staggering 19.4% in Spain, which has been reeling from the burst of a house price bubble. Irish unemployment was 12.9%, French unemployment was 10%, Italian unemployment was 8.3% while German unemployment was 7.6%. Other economic data have pointed to a mixed economic picture. Manufacturing and services-sector purchasing-managers' surveys have been showing robust expansion. But retail sales dropped 1.2% in November, as spending is frequently held back in periods of high unemployment.