Consumers aren't experiencing Trump's 'roaring' economy

2 weeks ago 14

Catherine Baab

Wed, February 25, 2026 astatine 8:23 AM CST 2 min read

President Donald Trump utilized his State of the Union code Tuesday nighttime to question distant worries astir affordability, touting a “roaring” system and a state "richer" than ever before. But the information this week suggests that outgo of surviving concerns are inactive precise overmuch beforehand and halfway for American households.

The Conference Board’s Consumer Confidence Index nudged up 2.2 points successful February to 91.2, but that's inactive good disconnected its late-2024 highest of 112.8. The expectations constituent improved slightly, but erstwhile consumers wrote successful their existent concerns, the answers looked the aforesaid arsenic they person for months: prices, inflation, trade, jobs. Views of existent conditions got worse, and however radical consciousness astir their ain household finances? That got worse, too.

Retail net this week archer a akin story. TJX, the discount elephantine down TJ Maxx and Marshalls, had a genuinely beardown 4th to headdress its 2025, with comparable income up 5%, gross margins improving, and net per stock jumping a whopping 28%. Translation: People are inactive shopping. They’re conscionable buying for bargains. TJX likewise raised its inventory 10% per store, which the concatenation described arsenic “outstanding” merchandise availability, but which besides indicates brands and premium retailers are looking for ways to offload high-end products that didn’t determination astatine afloat markup. That’s a triumph for maxxinistas everywhere, maybe, but not an indicator of a beardown economy.

Home Depot, connected the different hand, posted same-store income maturation of conscionable 0.4% successful the 4th quarter, with lawsuit transactions really falling 1.6%. At the aforesaid time, mean summons sizes roseate 2.4%, meaning that customers are spending much per trip, but that they’re making fewer full trips. For its part, Lowe’s saw comps emergence 1.3% portion institution executives alluded to however “the lodging macro remains pressured.” That's an oblique mode of saying customers aren’t doing big, fancy room renovations close present — much similar their ain repairs, wherever possible.

These net reports, considered together, suggest that bargain-hunting and household savings measures are live and well, with American consumers seeking retired inexpensive thrills similar half-price ablution gel and discount sweaters. Bigger summons items are the challenge, with a cautious temper swirling wherever life's largest expenses are concerned. Rent and lodging costs stay stubbornly high, truthful large commitments are pugnacious oregon adjacent intolerable to make, with location income falling contempt the statesmanlike messaging astir owe rates.

In different words, the White House tin pooh-pooh affordability concerns each it wants, but wrong households, budgets stay tight, and worries persist.

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