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Thursday, July 19, 2012

Spain unemployment rises to 24.4 percent in Q1

Spain unemployment rises to 24.4 percent in Q1 - Official figures show that unemployment in Spain has risen to 24.4 percent in the Q1 from 22.9 percent in the fourth quarter of 2011.

The National Statistics Institute says 365,900 more people lost their jobs in the first three months of the year, taking the total out of work to 5.6 million.

The institute also said Friday that the number of households with every member unemployed rose by 153,400 to 1.7 million.

Spain's unemployment rate is the highest in the 17-nation eurozone.

THIS IS A BREAKING NEWS UPDATE. The decision by Standard & Poor's to cut Spain's credit rating has weighed on European markets Friday, reinforcing fears that the country's new government faces an uphill battle to get a grip on its finances.

Late Thursday, S&P became the first of three leading credit rating agencies to strip Spain of an A rating. It cited a worsening in Spain's budget deficit and poor economic prospects for its decision to reduce the rating by two notches from A to BBB+.

Spain has become the epicenter Europe's debt crisis in recent weeks as investors worry over its ability to push through austerity and reforms at a time of recession and mass unemployment.

The Stoxx 50 index of European shares fell 0.7 percent while the euro droppped 0.2 percent against the dollar.

Spain unemployment rises to 24.4 percent in Q1 Rating: 4.5 Diposkan Oleh: Arm Aritn


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