Treasury Secretary Scott Bessent said that it has been a very strong holiday season for the economy and predicted that the US would end the year at 3% real GDP. Recent GDP figured show a contracting 0.6% in the first quarter of 2025, followed by a 3.8% growth in second quarter, and now the Atlanta fed estimates the third-quarter at 3.5%. With these numbers being said consumers, who's spending accounts for 70% of the US. GDP remain worried about the state of the economy. According to The University of Michigan's consumer sentiment survey came at 53.3 in December which is up 4.5% from November but down 28% from last year which causes reason for concern.
With people continuing being concerned over these rising price concerns, President Trump has pushed back on the idea that America are struggling financially. Bessent followed Trump by stating the administration was dealing with inflation issues leftover from the Biden administration. With that being said, it is hard to ignore that many of middle-class households feel the disconnect between reported growth and the financial strain. With Bessent stating "The American people don't know how good they have it" could cause a disconnect from the administration and the American people.
https://www.cnbc.com/2025/12/07/bessent-gdp-growth.html
