US richer, stronger than ever: Trump economical with truth on economy?

President Donald Trump offered a defiant defence of his policies and economic record, declaring the nation is "back bigger, better, richer and stronger than ever before" in Tuesday's State of the Union address.

The President staged his version of a pep rally for a beleaguered nation, celebrating athletic victories and military heroism while pledging better fortunes for the public. The goal for Trump is to reverse voter sentiment, with polls showing Americans anxious about the economy and skeptical of his policies ahead of November's midterm elections.

"You've seen nothing yet," he continued. "We're going to do better and better and better. This is the Golden Age of America."


The speech comes at a pivotal moment for Trump's presidency as he grasps for a broad reset. The president is confronting falling approval ratings, a number of foreign policy flashpoints - including the threat of military action against Iran - and a setback to his signature tariff policy, which was struck down by the US Supreme Court.

"Today, our border is secure, our spirit is restored. Inflation is plummeting, incomes are rising fast," Trump said. "The roaring economy is roaring like never before, and our enemies are scared. Our military and police are stacked, and America is respected again, perhaps like never before."

The president at one point stated that "we're winning so much that we really don't know what to do about it" - and for emphasis, had the Olympic champion US men's hockey team enter the House chamber wearing their gold medals. He also paid tribute to George "Buddy" Taggart, a World War II veteran who will turn 100 years old this year.

Many Americans are more dour about the president's stewardship of the country. Some 60% of Americans disapproved of Trump's job performance in a Washington Post-ABC News-Ipsos poll released on Sunday. The president's approval rating hit a new low of 26% among independents according to a new CNN survey.

Trump repeatedly sought to blame political opponents and the establishment for his political troubles, including in a critique of the Supreme Court for striking down his global tariffs. Still, he gave no indication he would change course, saying he would move ahead with restoring his broad import taxes through other authorities. He even predicted that the US would take in so much revenue that it would "substantially replace the modern day system of income tax."

The president also cited lower gasoline prices and mortgage rates as well as a stock market that has set records since he took office as evidence that his approach is working.

There has some encouraging economic data lately. Last month saw inflation come in below forecasts - though it's still high enough to keep the Federal Reserve worried - while jobs beat expectations. But prices for groceries and many essentials have risen, and last year was a historically weak one for the jobs market. Only 181,000 positions were added in what economists dubbed a "low-hire, low-fire" labor market.

Trump's remarks, and the Democratic response, offer to set the tone for the November midterm elections which threaten to sweep away Republicans' grip on both chambers of Congress.

To reverse that narrative, the president highlighted efforts to boost jobs, draw trillions in foreign and private investment pledges and his efforts to lower costs, including on prescription drugs, as well as his Trump accounts for young people.

No for 'n' weapon
Trump also briefly laid out his case for a possible attack on Iran, saying he would not allow the world's biggest sponsor of terrorism to have a nuclear weapon.

In his speech, Trump pointed to Tehran's support for militant groups, its killing of protesters and the country's missile and nuclear programs as threats to the region and the United States.

"The (Iranian) regime and its murderous proxies have spread nothing but terrorism and death and hate," the Republican president said about 90 minutes into his annual address to a joint session of the Senate and House of Representatives.

He accused Iran of restarting its nuclear program, working to build missiles that "soon" would be capable of reaching the United States and of being responsible for roadside bombings that have killed US service members and civilians. Iranian state media have claimed that Tehran is developing a missile capable of reaching North America.

The run-up to Trump's address was overshadowed by the buildup of US military forces in west Asia and preparations for a possible conflict with Iran that could last for weeks if Tehran does not reach a deal to solve a longstanding dispute over its nuclear program.

Trump has repeatedly expressed frustration with negotiators' failure to reach an agreement. "They want to make a deal, but we haven't heard those secret words, 'We will never have a nuclear weapon,'" Trump said in his speech.