KEY POINTS
- The president told donors at a Maryland fundraiser that he does not expect a recession
- His remarks come a day before his ‘cornerstone’ speech in Chicago
- Despite Biden’s confidence, polls have shown voters’ lack of confidence in his handling of the economy
President Joe Biden believes the U.S. economy is safe from the doom of a potential recession despite warnings from economists and banks.
Biden said he doesn’t expect a recession and described the U.S. economy as “strong now” while speaking to donors at a private fundraiser in Chevy Chase, Maryland, on Tuesday, Reuters reported.
“It’s been coming for 11 months, well guess what? I don’t think it is going to come,” he added. The president gave credit to a strong labor market and his efforts to keep inflation in check as reasons why he does not expect a recession.
Data published this week on housing and consumer confidence also appear to support Biden’s affirmation of a resilient economy, according to Bloomberg. The housing market seems to be bouncing back as data shows that new home sales in May increased for the third month in a row.
Orders for manufactured durable goods in the country also increased by 1.7% in May and rose for the third month in a row, according to a report released by the U.S. Census Bureau.
On the other hand, predictions continue to warn several economies of an incoming recession. U.K. banking giant HSBC gave a warning this week about the U.S. economy possibly seeing a downturn toward the end of 2023.
While Biden seems confident in armoring the country against a potential recession, polls show a lack of faith among voters in the president’s handling of the economy. Only 33% approve of his leadership of the U.S. economy, according to a May survey by the Associated Press-NORC Center for Public Affairs.
Biden’s remarks about the country’s resilient economy come before his “major address” in Chicago. The president is set to deliver a speech Wednesday on “Bidenomics” to convince voters that they need not worry about a recession.
Bidenomics focuses on “growing the middle class and empowering workers, investing in America and lower costs,” the White House said.
White House press secretary Karine Jean-Pierre referred to the upcoming Wednesday address as Biden’s “cornerstone” speech. “It’s a vision about growing the economy from the middle out and the bottom up — you hear us say that over and over again, because we believe that trickle-down economics does not work,” she said Monday. “We have the data to prove it.”
