WASHINGTON — The U.S. economy added 130,000 jobs in January, a stronger-than-expected start to 2026 that pushed the unemployment rate down to 4.3%, the Bureau of Labor Statistics reported in a jobs report delayed by a partial government shutdown.
Economists had forecast far weaker payroll gains — roughly 70,000 — and many had expected the unemployment rate to hold near December’s 4.4%.
“The January jobs report surprised to the upside, as the private sector added over 170,000 jobs and the unemployment rate ticked down to 4.3%,” said America’s Credit Unions Chief Economist Curt Long in a statement. “Healthcare and social services accounted for over half of those gains, while most other major sectors showed low or negative job growth. On the positive side, both hours worked and hourly wage gains improved in January. The labor market is maintaining a steady position overall, but it continues to exhibit some slack and plenty of unevenness. Credit unions are uniquely positioned to serve those households that are in struggling localities or sectors of the economy.”
Earlier Reports Revised
While the new report is a positive, annual revisions released with the report painted a much weaker picture of 2025’s labor market. The total number of jobs added last year was slashed to 181,000, down sharply from earlier estimates — the weakest pace in years.
Financial markets reacted to the data by trimming expectations for near-term Federal Reserve interest-rate cuts, and gold and bond markets showed volatility as traders digested the stronger employment figures, according to Reuters.
