Patriot Brief

  • What Happened: The U.S. economy added 130,000 jobs in January, more than double the 55,000 economists expected, while unemployment fell to 4.3%.
  • Why It Matters: All job growth came from the private sector which added 172,000 jobs, while federal government payrolls shrank by 34,000 and state/local governments cut 8,000.
  • Bottom Line: Economists say the economy now needs as few as 30,000 jobs monthly due to immigration restrictions, meaning these numbers show robust growth under current conditions.

The Trump economy just crushed expectations and silenced critics all in one report.

The U.S. economy added 130,000 jobs in January, more than twice what economists predicted. Experts expected just 55,000 jobs, with some forecasting as few as zero. Instead, Trump delivered 130,000 and unemployment dropped to 4.3 percent.

Here is the best part. Every single job came from the private sector, which added 172,000 positions. Meanwhile, federal government payrolls shrank by 34,000 and state and local governments cut 8,000 jobs. This is exactly what draining the swamp looks like.

Construction added 33,000 jobs. Manufacturing climbed by 5,000. Professional and business services added 34,000. The private sector is booming while government bloat gets cut.

White House trade adviser Peter Navarro explained why these numbers are actually even more impressive than they look. "We have to revise our expectations down significantly for what a monthly job number should look like," Navarro said.

Because of immigration restrictions and deportations, the economy no longer needs to add 100,000 jobs every month just to keep up with labor force growth. Many economists now estimate the break-even rate could be as low as 30,000 jobs, and could hit zero later this year.

Federal Reserve Chairman Jerome Powell confirmed this at his press conference last month. "Is that full employment? In a sense it is. If demand and supply are in balance, you know, you could say that's full employment," Powell said.

Kevin Hassett, the president's top economic adviser, made it even clearer. Immigration restriction and deportations mean the economy needs fewer jobs. Artificial intelligence is also changing labor dynamics.

Meanwhile, businesses are pouring money into capital investment and productivity growth has accelerated. In the third quarter of 2025, productivity rose at a 4.9 percent rate. If sustained, that means extraordinary economic growth is coming.

This is the Trump economy in action. Private sector booming. Government shrinking. Unemployment falling. And the experts who predicted disaster once again proven completely wrong.