Unemployment in the eurozone fell unexpectedly in November, defying predictions of a slight increase. According to data from the European Union statistics agency Eurostat, the unemployment rate dropped from 6.5% to 6.4% during the month.
Analysts had anticipated a rise to 6.6%, but the labor market in the eurozone remains tight. The unexpected decrease in joblessness may raise concerns among European Central Bank policymakers, as a tight jobs market has contributed to higher services inflation.
In December, consumer-price inflation in the bloc ticked higher for the first time since last spring, mainly due to static services inflation. However, economists predict that inflation will ease and do not expect prices to reach the levels seen in previous years.
Among the major economies in the currency bloc, Germany and France maintained steady unemployment rates of 3.1% and 7.3%, respectively. Spain, which has historically had the highest unemployment rates in the eurozone, reported a slightly lower level at 11.9%. Italy also saw a decrease to 7.5%.
Overall, the number of jobless individuals across the eurozone decreased by around 100,000 in November, totaling 10.97 million.