Power dissipated in 0 Ohm resistor
If a transistor had a max voltage rating of 100 volts and a max current rating of 10 amps, it doesn't mean it has a max power rating of 1000 watts - the max ratings supplied in the data sheet are extremes and not to be used in partnership with other extremes to forge some hyper-extreme max value.

If the max current is 1A (DC or RMS) then make sure you don't go above it and if the power rating is 125 mW then it cannot be exceeded but in reality that package power dissipation is for resistors of the same style/package having a finite specified resistance.