By Paul Hannon The number of people without jobs across the 17 countries that share the euro fell in October by the largest amount since April 2011, while the annual rate of inflation picked up in November, although it remained well below the European Central bank's target level. The European Union's statistics agency said Friday the euro zone's unemployment rate fell to 12.1% in October from 12.2% in September--which was a record high--and the annual rate of inflation rose to 0.9% in November from 0.7% in October. Both developments will ease concerns that the currency area is at risk of entering a period of deflation--or falling prices--as a result of weak consumer demand and low levels of bank lending. Eurostat said the number of people without jobs fell by 61,000 in October, largely driven by a decline of 41,000 in France, the currency area's second-largest economy. However, 19.298 million were without jobs, 615,000 more than in the same month last year. The rate of unemployment last fell in January 2011. The decline in the unemployment rate was a surprise, since 20 economists surveyed by The Wall Street Journal last week had expected it to be unchanged. But it remains very high by international standards. In the same month, the unemployment rate in the U.S. stood at 7.3%. Within the euro zone, unemployment rates differed hugely, with Austria recording the lowest at 4.8%, and Greece the highest at 27.3%, although that figure was for August, the most recent month for which figures are available. The rate of unemployment among people aged 24 or younger remains much higher than the rate for the population as a whole, and rose in October to 24.4% from 24.3%. Youth unemployment rates were particularly high in countries that have been worst affected by the euro zone's fiscal and banking crisis. In Spain, the youth unemployment rate rose to 57.4% from 56.8% in September.

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