U.S. adds 165,000 jobs in October, unemployment rate falls to 4.1%

The U.S. economy added 165,000 jobs in October, surpassing forecasters' expectations, according to a Labor Department report cited by NPR News and NBC News.

The unemployment rate decreased to 4.1%, maintaining a near-historic low, as reported by both outlets.

Some of the new jobs appear to be related to artificial intelligence in construction and manufacturing sectors, NBC News noted.

Despite the job gains, wage growth remained sluggish, with average hourly earnings rising 3.1% year-over-year, which is below the inflation rate of 3.7%, according to NBC News.

Economists highlighted labor market stability and consumer resilience but also pointed to low labor force turnover and concerns about inflationary pressures.

The report also revised upward job gains for August, indicating stronger employment trends in recent months.

Looking ahead, challenges remain with wage growth and inflation, as well as the broader economic impact of AI and rising business costs.