In a recent NBC interview on Meet the Press, President Donald Trump asserted that the state of the US economy is a blend of his own policies and the current administration’s influence, with him attributing the positive aspects to his administration and the negatives to President Joe Biden. Trump expressed dissatisfaction with Biden’s handling of economic matters, claiming it has resulted in adverse outcomes.
Despite having recently completed his initial 100 days in office, a CNN/SSRS poll reveals a significant portion of the American populace remains apprehensive about the economy, with 66% voicing pessimism. While only 34% of respondents reported feeling optimistic, many predict a potential recession, with 69% finding it at least somewhat probable in the coming year.
Trump highlighted that he successfully reduced costs during his tenure, although recent statistics indicated that grocery prices saw a 2.41% increase from the previous year, marking the highest inflation rate since August 2023. When questioned about the volatile stock market, which fell sharply following his introduction of tariffs, Trump urged a more optimistic view, referencing the market’s resilience and recovery.
On April 6, he assured that the US economy is strengthening and downplayed concerns regarding market dips, indicating that some losses could be necessary for long-term benefits. However, the stock market performance indicated fluctuations, including a notable surge after pausing tariffs on various countries.
Trump also discussed the potential permanence of tariffs on Chinese imports, refusing to exclude this possibility as it could dissuade domestic production. He granted some relief to larger corporations but notably neglected to extend similar assistance to small businesses, as he believes they would not require it.
On the prospect of a recession, Trump acknowledged the uncertainty of economic conditions but expressed that he isn’t overly concerned. Yet, his insistence that tariffs would ultimately "make the US rich" contrasts with growing apprehensions among the public regarding their economic impact. Recent predictions have escalated, with firms like JPMorgan raising recession probability to 60%.
As general frustrations about rising prices linger, Trump suggested consumers may have to adjust their spending habits, describing it as an opportunity to reassess needs. He vilified Federal Reserve Chair Jerome Powell for not reacting swiftly enough on interest rates, leading many to speculate about potential disruptions in the Fed’s leadership during his presidency.
Despite the turbulent economic landscape and his critical stance on Powell, Trump reassured that he has no plans to dismiss the Fed Chair, emphasising instead that he would have avenues for influence down the line.