In a televised appearance that has sparked significant discussion, Treasury Secretary Scott Bessent firmly dismissed the possibility of a nationwide recession occurring in 2026. His optimistic outlook comes amidst public concern over economic performance and the cost of living.
Confident Economic Forecast for 2026
During an interview on NBC News's "Meet the Press" with Kristen Welker, Bessent was directly questioned about the country's economic vulnerability. "No. I am very confident about 2026," he stated unequivocally. He attributed this confidence to the administration's legislative achievements, specifically citing the "One Big Beautiful Bill" that encompasses peace, tax, and trade deals. Bessent argued that these measures have "set the table for a very strong, noninflationary growth economy."
Addressing Inflation and Tariff Concerns
The conversation also turned to the persistent issue of inflation. Secretary Bessent pushed back against the notion that inflation is currently rising, asserting, "We have slowed inflation. And we are working very hard to bring it down." When Welker challenged him on the administration's decision to roll back tariffs if they were indeed beneficial, Bessent claimed that inflation had "nothing to do with tariffs." He offered a hopeful, though vague, prediction that Americans would see prices decrease in the "weeks and months to come," without providing specific details on which items or by how much.
Recognizing Sector-Specific Struggles
This unwavering national optimism stands in contrast to comments Bessent made earlier this month, where he acknowledged that certain "sectors of the economy" are in a recession. Pressed by Welker to clarify, he pointed to interest rate-sensitive sectors, with housing being a primary example. He also identified the longest government shutdown in history as a factor that was "not helpful" for the economy.
This mixed messaging arrives as the Trump administration faces scrutiny over its core campaign promises. President Donald Trump's 2023 campaign heavily emphasized reducing the cost of living and improving the economy. However, recent polls indicate a deep-seated public dissatisfaction. A Fox News national survey published last week found that a staggering 76% of voters view the economy negatively. This sentiment is echoed by an NBC News poll from earlier this month, which revealed that two-thirds of voters believe the Trump administration has "fallen short on the economy and the cost of living."
