US jobs growth accelerates in January 

But US president Donald Trump's aggressive trade and immigration policies continue to cast a shadow on labour market

US president Donald Trump's aggressive trade and immigration policies continued to cast a shadow on the labour market. Picture: AP Photo/Evan Vucci

US job growth unexpectedly accelerated in January and the unemployment rate fell to 4.3%, signs of labour market stability that could give the US Federal Reserve room to keep interest rates unchanged for some time while policymakers monitor inflation.

But the largest increase in payrolls in 13 months reported on Wednesday likely exaggerates the labour market's health, as revisions showed the economy added only 181,000 jobs in 2025 instead of the previously estimated 584,000. The job tally is a fraction of the 1.459m added in 2024, the final full year of former president Joe Biden's term.