Spain: A new momentum on the labor market

This chart shows that the economic momentum is changing in Spain. The number of unemployed drops quickly and month after month. The peak was in April 2013 and since then the number of unemployed has been reduced by more than 335 450. This change can be seen on the chart by looking at the blue bars. We clearly see that the business cycle dynamics has changed.
This is consistent with other economic indicators. GDP growth is trending higher, this is also the case for industrial production and companies’ survey shows a rapid improvement (see the PMI survey for June). Employment data are also improving even if the pace is more limited.
Unemployed numbers are still very high but the first step is to create the dynamics of change.

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