US Adds 130,000 Jobs in January, Beating Expectations

The US labor market delivered a surprise in January, with 130,000 jobs added, far above expectations, according to data released by the Bureau of Labor Statistics on Wednesday.

Economists surveyed by Bloomberg had expected a gain of around 68,000 jobs, with forecasts ranging from a loss of 10,000 to a gain of 135,000. Instead, payroll growth came in nearly double the median estimate. The unemployment rate edged down to 4.3%, slightly below expectations of 4.4%.

The report, delayed by a brief government shutdown, was widely dubbed the “Super Bowl of jobs reports” because it also included major revisions to 2025 data. Those revisions showed total payroll growth last year was 184,000, sharply lower than the previously reported 584,000, reinforcing concerns that the labour market cooled more than initially believed.

Markets reacted positively. US stock futures climbed in pre-market trading, with Dow, S&P 500, and Nasdaq futures each rising around 0.4% as investors reassessed the outlook for Federal Reserve policy. Stronger January hiring could complicate expectations for rate cuts later this year, though softer 2025 revisions keep the broader slowdown narrative alive.

The mixed message, solid current hiring but weaker historical data, leaves policymakers balancing resilience against signs of gradual cooling in the US labour market.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.