4 Dec 2010

US unemployment rate rises

6:06 am on 4 December 2010

The unemployment rate in the United States rose to 9.8% in November - raising fears about the strength of the country's economic recovery.

The Labor Department said only 39,000 jobs were created last month. In October, 172,000 jobs were created.

Stocks markets fell sharply after the figures were published. The rate is the highest since April.

Analysts are concerned that the levels of high unemployment in the US are undermining the economy's recovery.

The Labor Department said 15.1 million people were now unemployed in the US, equating to a rate of 9.8%. This is an increase from the 9.6% rate recorded in the previous three months.

The BBC reports jobs were created in the business services, healthcare and mining sectors, but job numbers in the retail and manufacturing sectors fell.