Authorities say 200,000 jobs were added across the nation in January, and wages rose at the fastest pace in more than eight years.
The unemployment rate remained 4.1 percent for a fourth straight month, the Labor Department said Friday. And with unemployment at a 17-year low, there are fewer job-seekers for businesses to hire. Most economists expect that trend to continue in 2018.
The figures point to a healthy economy even in its ninth year of expansion, fueled by global economic growth and steady consumer spending at home.
A pickup in hourly wages, along with a recent uptick in inflation, may make it more likely that the Federal Reserve will raise short-term interest rates more quickly in the coming months.
But if wage growth picks up consistently, some Americans who have stopped looking for work the past few years might resume their job hunt. Their influx could boost hiring in coming months.