In a live address from the White House on Wednesday night, President Donald Trump sought to reassure the American public about the state of the U.S. economy, emphasizing that any current challenges are being addressed. “Eleven months ago, I inherited a mess, and I’m fixing it,” Trump declared.

His speech comes at a pivotal moment as he works to regain footing amid declining approval ratings. Surveys indicate that a significant portion of U.S. adults express dissatisfaction with his economic policies, particularly as inflation has surged following the implementation of tariffs that raised prices, and job growth has slowed.

Positioned between two Christmas trees and with a portrait of George Washington serving as a backdrop in the White House’s Diplomatic Reception Room, Trump aimed to attribute concerns over inflation to his predecessor, Joe Biden.

Looking ahead to 2026, Trump and the Republican party are gearing up for a critical test of their governance, as the midterm elections loom to determine the balance of power in both the House and the Senate.

In 2026, Trump and his party face a referendum on their leadership as the nation heads into the midterm elections that will decide control of the House and the Senate.

The White House remarks were a chance for Trump to try to regain some momentum after Republican losses in this year’s elections raised questions about the durability of his coalition.

Trump brought charts with him to make the case that the economy is on an upward trajectory.

But the hard math internalized by the public paints a more complicated picture of an economy that has some stability but few reasons to inspire much public confidence.

The stock market is up, gasoline prices are down and tech companies are placing large bets on the development of artificial intelligence.

But inflation that had been descending after spiking to a four-decade high in 2022 under Biden has reaccelerated after Trump announced his tariffs in April.

The consumer price index is increasing at an annual rate of 3%, up from 2.3% in April.

The affordability squeeze is also coming from a softening job market. Monthly job gains have averaged a paltry 17,000 since April’s “Liberation Day” in which Trump announced import taxes that he later suspended and then readjusted several months later.

The unemployment rate has climbed from 4% in January to 4.6%.

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