Hobbs beat her previous record of 11.09sec set at the finals of the Oceania Athletics Championships in Mackay, Australia last month.
She started the race trailing world number two Shericka Jackson of Jamaica, quick-starting Chinese sprinter Xiaojing Liang and Bahamian Anthonique Strachan.
However soon powered through to snatch the second spot from Strachan in a photo-finish in 11.08sec.
This is the fifth time since December that Hobbs has lowered the New Zealand women's 100m record and has becomes the first Kiwi woman in history to reach the 100m semi-finals at a World Championships.
Fellow New Zealand sprinter Eddie Osei-Nketia also set a new national 100m record yesterday.
Osei-Nketia posted a time of 10.08, knocking 0.03m/s off his father Gus Nketia's time set at the 1994 Commonwealth Games.