US unemployment rate falls in November

Figures published today by the Labor Department revealed that the US economy lost fewer jobs in November with the unemployment rate falling to 10% from a rate of 10.2% in October.

Figures show that US employers cut the lowest number of jobs during the month since the onset of the recession two years ago.

The world’s largest economy lost only 11,000 jobs in November, far fewer than the 130,000 expected by most analysts.

US President, Barack Obama said the figures were “good news”, but warned that there were “more bumps in the road to economic recovery”.

“There is a lot more to do before we can celebrate… good trends don’t pay the rent,” said the president.

Meanwhile, Tom Sowanick, chief investment officer at the OmniVest Group in Princeton, New Jersey, said the numbers “are almost too good to be true.”

In a separate report, the Commerce Department said factory orders rose by 0.6% in October, analysts had expected orders to remain flat.

The positive economic data sent the Dow Jones index up 122 points, or 1.2%, at 10,488 in early trading.

Earlier this week, the National Association of Realtors (NAR) said its Pending Home Sales Index rose to 114.1 in October - its ninth consecutive monthly rise.

The index is up 31.8% from this time last year - the biggest year-on-year gain since the series began in 2001.

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