US unemployment rate rises to 8.3pct in July 2012


06/08/2012 08:32 AST  Steelguru

Reuters reported that US employers in July 2012 hired the most workers in five months, but an increase in the jobless rate to 8.3% muddled the near-term outlook for monetary policy.

The Labor Department said that non farm payrolls rose 163,000 in July 2012, beating economists' expectations in a Reuters' poll for a 100,000 gain. That snapped three straight months of job gains below 100,000 and offered hope for the struggling economy.

However, the unemployment rate rose from 8.2% in June 2012, even as more people gave up the search for work and a survey of households showed a drop in employment.

The closely watched employment report comes two days after the Federal Reserve sent a stronger signal that a new round of major support could be on the way if the faltering recovery does not pick up.

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