US unemployment rate up

The US unemployment rate reportedly rose at its fastest pace in more than two decades last month fuelling fears of a recession in the world\'s largest economy.



The surprise jump in May\'s jobless rate to 5.5 percent from 5 percent is the most recent signal that US growth is stalling.



BBC reports said it shows that US companies are more reluctant to hire as profits are squeezed by a consumer slowdown and soaring oil and raw material costs.



The US Labor Department said the economy lost 49,000 non-farm jobs.



Analysts said the worry is that a weak labour market will see consumers rein in their spending, hurting corporate profits.