FRANKFURT--German jobless claims dropped more than expected in January and the unemployment rate hit a fresh record low, cementing Germany's position as the strongest labor market in the eurozone.
The BA labor agency said Tuesday that jobless claims fell by 20,000 from the previous month, adjusted for seasonal effects, and the adjusted unemployment rate slipped to 6.2% from 6.3% in December, the lowest level since the beginning of the data series in January 1992. By comparison, economists polled by The Wall Street Journal had forecast a decline in jobless claims of just 7,000.
"The favorable development in the jobs market continued at the start of the year," said BA head Frank-Juergen Weise. A buoyant labor market has been fueling household consumption and wage growth in Europe's largest economy.
But most labor market experts expect a pick-up in joblessness in the course of the year, because of a record influx of migrants. Unemployment among people fleeing war and persecution is rising, highlighting the difficulties the country is facing in integrating the unprecedented number of people crossing its borders every day.
Dat staat NL ook te wachten.