Eurozone unemployment climbed to a record high of 12.1% in May, Eurostat said. Among young workers, the jobless rate was 23.8%. The overall unemployment rate was 26.9% in Spain in May and 26.8% in Greece in April, the most recent date for which information was available.
Taiwan's manufacturing sector remained in contraction last month, but the rate of pullback eased somewhat. The HSBC purchasing managers index of 49.5 improved from 47.1 in May because of weak external demand. "Businesses are still feeling the weight of China's slowdown and weak Western demand," HSBC Greater China economist Donna Kwok said in the report.
Indian Finance Minister P. Chidambaram acknowledged the problematic nature of India's current-account deficit and said the only viable answer is to boost exports. "It has become a serious issue because imports are rising faster than exports. And the gap has to be financed through invisibles and capital account ... but to do that year after year is a challenge. Long-term answer to the [current-account deficit] is to improve the exports," Chidambaram said in an interview.
In response to a borrower petition, South Korea's Financial Supervisory Service will look into suspicions of yield fixing by the country's leading banking institutions. The 205 complainants allege the banks colluded on CD yields, with the effect of overcharging borrowers nationwide 4.1 trillion won in interest from January 2010 to June 2012.