Record unemployment, low inflation underline Europe's pain - by Robin Emmott and Martin Santa

Unemployment has reached a new high in the and inflation remains well below the European Central Bank's target, underscoring just how severe a challenge EU leaders face to revive the bloc's sickly economy.

Joblessness in the 17-nation currency area rose to 12.2 percent in April, statistics agency Eurostat said on Friday, marking a new record since the data series began in 1995.

With the euro zone also in its longest recession since its creation in 1999, consumer price inflation was far below the ECB's target of just below 2 percent, coming in at 1.4 percent in May, slightly above April's 1.2 percent rate.

That rise may quieten concerns about deflation, but the deepening unemployment crisis is a threat to the social fabric of the euro zone, with almost two-thirds of young Greeks unable to find work exemplifying southern Europe's threat of creating a 'lost generation'.

Read more: Record unemployment, low inflation underline Europe's pain | Reuters

European Unemployment Fell in February, Led by Germany, Italy - by Simone Meier

European unemployment fell in February as companies from Germany to Italy added workers to meet reviving global demand, offsetting job cuts in debt- burdened Spain.

The 17-nation euro region’s seasonally adjusted jobless rate fell to 9.9 percent from a revised 10 percent in January, the European Union statistics office in Luxembourg said in an e- mailed statement today. At 20.5 percent, Spain had the highest jobless rate and the Netherlands the lowest, with 4.3 percent.

For more: European Unemployment Fell in February, Led by Germany, Italy - Bloomberg