The euro fell against the dollar on Thursday after data showed German unemployment rose unexpectedly in December.

The jobless rate increased by 2,000, confounding economists’ expectations for a decrease of 5,000. This raised concerns about the health of the German economy, which has been a key driver of growth in the Eurozone.

“The German labor market is usually very resilient, so this increase in unemployment is a worrying sign,” said one analyst. “It suggests that the Eurozone economy may be weaker than previously thought.”

The euro fell to a session low of $1.3180 against the dollar following the release of the data. It later recovered slightly to trade at $1.3195.

The German unemployment figures came as a surprise, as recent data had suggested that the country’s economy was holding up relatively well despite the ongoing Eurozone crisis. However, the latest figures suggest that the crisis is starting to take its toll on the German labor market.

The rise in German unemployment is likely to put pressure on the European Central Bank (ECB) to take further action to support the Eurozone economy. The ECB has already cut interest rates to record lows and launched a number of other measures to boost growth, but it may now need to do more.

Some analysts believe that the ECB could announce further measures at its next meeting in January. These could include another interest rate cut or a new round of bond purchases.

The Eurozone crisis has been weighing on the euro for several years. The currency has fallen sharply against the dollar since the crisis began in 2010, and it is now trading at levels not seen since 2012.

The future of the euro remains uncertain. The currency is likely to remain under pressure as long as the Eurozone economy continues to struggle.