German unemployment unexpectedly fell in February amid signs that Europe’s biggest economy is returning to growth after a contraction at the end of last year.
Chancellor Angela Merkel’s party had its worst result in more than half a century in the northern German state of Schleswig-Holstein after an election that put the Social Democrats within reach of forming a coalition.
Germany’s unemployment rate slid to a new two-decade low in May, bucking a Europe-wide trend as the financial crisis rages.
"The labor market seems to be coping well with the plunge in activity last autumn."
- Eckart Tuchtfeld on Feb 28, 2013