"The economy added more than 100,000 jobs last month, and the unemployment rate fell sharply. And we know these numbers can bounce around from month to month, but the trend is clear. We saw 12 straight months of private sector job growth. That's the first time that's been true since 2006."

Earlier, the chairman of the US Federal Reserve, Ben Bernanke, warned it could take five years for unemployment to drop to its usual rate of about 6%.

The Israeli army says four of its soldiers have been wounded in an exchange of fire with Palestinian militants close to the Gaza border. Jon Donnison reports from Ramallah.

The Israeli army is releasing few details but has confirmed that four of its soldiers have been injured. It is relatively unusual for Israeli soldiers to be injured in such exchanges. But in recent weeks, there has been an increase in cross-border violence. Over the past year, the United Nations says more than 70 Palestinians have been killed by Israeli action in Gaza. Over the same period, one Thai farm worker in Israel has been killed by a rocket fired from Palestinian militants.

The French President Nicolas Sarkozy has asked the intelligence services to investigate suspected industrial espionage at the carmaker Renault. The firm has suspended three senior managers for allegedly leaking technical details about the electric cars it's developing. Renault sources say they believe the secrets have been sent to a rival in China.