US adds 130,000 jobs in January, beating forecasts despite massive payroll revisions

U.S. employers added 130,000 jobs in January, far exceeding expectations and signaling a rebound in hiring, though sweeping revisions sharply reduced prior payroll estimates.

The Labor Department reported Wednesday that nonfarm payrolls increased by 130,000 last month, well above economists’ forecasts of 70,000 and a sharp acceleration from December’s downwardly revised gain of 48,000.

The unemployment rate edged down to 4.3% from 4.4%, defying expectations for a steady reading.

However, the report also included significant benchmark revisions. The Bureau of Labor Statistics erased roughly 898,000 jobs from payroll estimates covering April 2024 through March 2025. As a result, total nonfarm employment growth for 2025 was revised down substantially, from 584,000 to 181,000.

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The revisions suggest the labor market was considerably weaker over the past year than previously reported, even as January’s headline figures point to renewed hiring momentum at the start of 2026.

Crypto markets slid sharply, with Bitcoin (BTC) down more than 11% for the week and falling another 2.5% over the past 24 hours amid broader market volatility.