Job growth in January beats expectations, keeping Fed on hold

The U.S. economy added more jobs than expected in January, in an early sign that the labor market may be regaining strength.

The data, released Wednesday by the Labor Department, showed the U.S. added a net 130,000 jobs last month, while the unemployment rate fell to 4.3 percent, the second month in a row that joblessness fell.

The report brought another piece of good news for President Donald Trump, who has pledged to revive factory jobs: Manufacturing payrolls rose for the first time since November 2024, showing a small increase of 5,000 jobs.