Eurozone unemployment rate falls to 5-year low in May

Eurozone’s unemployment rate fell to its five-year low in May, suggesting that the currency area’s economy continues to recover at a modest pace, aided by a pickup in consumer spending as more people find jobs.

The number of people without jobs in the 19 members of the eurozone fell by 112,000 from April, pushing the jobless rate down to 10.1 percent from 10.2 percent to reach its lowest level since July 2011, data released by the Eurostat agency showed Friday.

The data covers a period before last week's shock Brexit vote, which economists believe, has made the eurozone more unstable and could negatively affect growth and job figures in the medium term.

Before the UK vote, the decline in unemployment appeared set to continue for some months to come. A survey of 3,000 manufacturers across the eurozone found new jobs were created for the 22nd straight month in June, and at the fastest rate over that period, reports said.

The jobless figures are evident that the eurozone economy has started to improve in the second quarter, although at a slightly slower pace than in the first three months of the year. However, whether that recovery continues in the third quarter will depend on how businesses and households respond to the UK’s Brexit vote.