German unemployment rose unexpectedly in September on a seasonally adjusted basis but remained close to its lowest level since reunification more than two decades ago.
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Euro zone sentiment turned positive for the first time in more than two years in September as investors welcomed the end of the bloc's recession and became increasingly upbeat about their current situation and outlook, a survey showed on Monday.
Slightly more people were out of work in Germany in August than a month ago due in part to a summer lull, but the unemployment rate stayed near its lowest since the country reunified more than two decades ago, Labour Office data showed.
German business sentiment surged to its highest level in 16 months in August, driven by a pickup in the manufacturing sector, and suggesting Europe's largest economy is gaining momentum following strong growth in the second quarter.
German alarm that their country is blamed for austerity measures compounding the problems in the euro zone helps explain Berlin's bilateral efforts to tackle youth unemployment in some of the countries worst affected.
Euro zone finance ministers met in Luxembourg on Monday to discuss Spain, Greece, Portugal and other issues related to the region's debt crisis, including what needs to be done to establish a single supervisory authority for euro zone banks.