Trump gives a partisan prime-time address insisting the economy is stronger than many voters feel

WASHINGTON (AP) — President Donald Trump delivered a politically charged speech Wednesday carried live in prime time on network television, seeking to pin the blame for economic challenges on Democrats while announcing he is sending a $1,776 bonus check to U.S. troops for Christmas.

The remarks came as the nation is preparing to settle down to celebrate the holidays, yet Trump was focused more on divisions within the country than a sense of unity. His speech was a rehash of his recent messaging that has so far been unable to calm public anxiety about the cost of groceries, housing, utilities and other basic goods.

Trump has promised an economic boom, yet inflation has stayed elevated and the job market has weakened sharply in the wake of his import taxes. Trump suggested that his tariffs — which are partly responsible for boosting consumer prices — would fund a new “warrior dividend” for 1.45 million military members, a payment that could ease some of the financial strains for many households. The amount of $1,776 was a reference to next year's 250th anniversary of the signing of the Declaration of Independence.

“The checks are already on the way,” he said of the expenditure, which would total roughly $2.6 billion.

Presidential addresses to the nation carried on network television are traditionally less partisan than rally speeches, but Trump gave a condensed version of his usual political remarks.

Flanked by two Christmas trees with a portrait of George Washington behind him in the White House’s Diplomatic Reception Room, Trump sought to pin any worries about the economy on his predecessor, Joe Biden.

“Eleven months ago, I inherited a mess, and I’m fixing it,” Trump said. “We’re poised for an economic boom, the likes of which the world has never seen.”

His holiday wishes came at a crucial time as he tries to rebuild his steadily eroding popularity. Public polling shows most U.S. adults are frustrated with his handling of the economy as inflation picked up after his tariffs raised prices and hiring slowed.

In 2026, Trump and his party face a referendum on their leadership as the nation heads into the midterm elections that will decide control of the House and the Senate.

The White House remarks were a chance for Trump to try to regain some momentum after Republican losses in this year’s elections raised questions about the durability of his coalition. He openly leaned into the politics despite television networks' past reluctance to broadcast presidential addresses loaded with campaign-style rhetoric.

For example, in September 2022, networks declined to give the Biden White House a prime-time slot for a speech the then-president gave about democracy because it was viewed as too political.

Trump spoke at a rapid-fire clip with a tone that bordered at times on anger. He responded to the public frustration this year over the economy by making even bolder promises on growth next year, saying that mortgage rates would be coming down and that he “would announce some of the most aggressive housing reform plans in American history.”

Trump brought charts with him to make the case that the economy is on an upward trajectory. He made claims about incomes growing, inflation easing and investment dollars pouring into the country as foreign leaders, he claimed, have assured him that “we’re the hottest country anywhere in the world,” a statement he has frequently repeated at public events.

If the argument seemed familiar, that's because it has echoes of the case that Biden made about the U.S. economy with little success. He, too, in the face of inflation pointed to the enviable rate of U.S. economic growth compared to other nations.

The hard math internalized by the public paints a more complicated picture of an economy that has some stability but few reasons to inspire much public confidence.

The stock market is up, gasoline prices are down and tech companies are placing large bets on the development of artificial intelligence.

But inflation that had been descending after spiking to a four-decade high in 2022 under Biden has reaccelerated after Trump announced his tariffs in April.

The consumer price index is increasing at an annual rate of 3%, up from 2.3% in April.

The affordability squeeze is also coming from a softening job market. Monthly job gains have averaged a paltry 17,000 since April’s “Liberation Day,” when Trump announced import taxes that he later suspended and then readjusted several months later.

The unemployment rate has climbed from 4% in January to 4.6%.

Trump said that investment commitments for new factories will boost manufacturing jobs and that consumer activity will improve dramatically as people receive increased tax refunds next year.

While emphasizing the economy, he also faces challenges on other policy fronts.

Trump’s mass deportations of immigrants have proved unpopular even as he is viewed favorably for halting crossings along the U.S. border with Mexico. The public has generally been unmoved by his globe-trotting efforts to end conflicts and his attacks on suspected drug boats near Venezuela.

Trump sought to blame Democrats for the likely increase in health insurance premiums as the subsidies tied to the 2010 Affordable Care Act are expiring. Democratic lawmakers and some Republicans have sought to address that issue, but Trump has pushed back and suggested instead that payments should go directly to the buyers of health insurance instead of the companies. The president has yet to commit to a specific legislative fix.

After his speech ended and the video was no longer being broadcast, Trump turned to his gathered aides and asked them how his address to the nation went. The aides assured him it was great.

Trump then indicated that White House chief of staff Susie Wiles had told him he needed to address the nation. After some back and forth, he asked Wiles how he had done.

“I told you 20 minutes and you were 20 minutes on the dot," Wiles said.

Follow the AP's coverage of President Donald Trump at https://apnews.com/hub/donald-trump.

President Donald Trump speaks during an address to the nation from the Diplomatic Reception Room at the White House, Wednesday, Dec. 17, 2025, in Washington. (Doug Mills/The New York Times via AP, Pool)

President Donald Trump speaks during an address to the nation from the Diplomatic Reception Room at the White House, Wednesday, Dec. 17, 2025, in Washington. (Doug Mills/The New York Times via AP, Pool)

President Donald Trump speaks during an address to the nation from the Diplomatic Reception Room at the White House, Wednesday, Dec. 17, 2025, in Washington. (Doug Mills/The New York Times via AP, Pool)

President Donald Trump looks on after stepping off Marine One on the South Lawn of the White House, Wednesday, Dec. 17, 2025, in Washington. (AP Photo/Mark Schiefelbein)

President Donald Trump speaks during an address to the nation from the Diplomatic Reception Room at the White House, Wednesday, Dec. 17, 2025, in Washington. (Doug Mills/The New York Times via AP, Pool)

President Donald Trump speaks during a Mexican Border Defense Medal presentation in the Oval Office of the White House, Monday, Dec. 15, 2025, in Washington. (AP Photo/Alex Brandon)

One U.S. service member was rescued and at least one was missing after two U.S. military planes went down in separate incidents including the first shoot-down since the war began nearly five weeks ago.

It was the first time U.S. aircraft have been downed in the conflict and came just two days after President Donald Trump said in a national address that the U.S. has “beaten and completely decimated Iran.”

One fighter jet was shot down in Iran, officials said. A U.S. crew member from that plane was rescued, but a second was missing, and a U.S. military search-and-rescue operation was underway.

Separately, Iranian state media said a U.S. A-10 attack aircraft crashed in the Persian Gulf after being struck by Iranian defense forces. A U.S. official, speaking on condition of anonymity to discuss a sensitive military situation, said it was not clear if the aircraft crashed or was shot down.

The war now entering its sixth week is destabilizing economies around the world as Iran responds to the U.S. and Israeli attacks by targeting the Gulf region's energy infrastructure and tightening its grip on oil and natural gas shipments through the Strait of Hormuz.

Here is the latest:

U.S. and Israeli warplanes continued to pound Iran Saturday, hitting several targets including a petrochemical facility, Iranian media reported.

Iran's official English-language newspaper Tehran Times reported that an airstrike hit a facility belonging to Iran’s Agriculture Ministry in the western city of Mehran.

The newspaper said another air raid struck Mahshahr Special Petrochemical Zone in the southwestern Khuzestan province.

The semiofficial Fars news agency reported several explosions heard late Saturday morning in the facility.

Mehr, another semiofficial news agency, reported that the strikes hit four companies within the zone.

Mohammad Bagher Qalibaf made the veiled threat in a social media post late Friday, asking about how busy oil tanker and container ship traffic is through the strait.

The 20-mile (32-kilometer) strait links the Red Sea with the Gulf of Aden and the Indian Ocean and is one of the busiest chokepoints in global trade, with more than a tenth of seaborne global oil and a quarter of container ships passing through it.

Iran has already greatly disrupted the flow of oil through the Strait of Hormuz, sending fuel prices skyrocketing and jolting the world economy.

Disrupting transit through the Bab el-Madeb would force shipping firms to route their vessels around the Cape of Good Hope at the southern tip of Africa, further hitting prices.

Israel’s rescue services said Saturday the man sustained glass shrapnel wounds after an Iranian missile hit the central city of Bnei Brak.

It wasn't clear if the glass shrapnel was caused by a direct strike or falling debris from an intercepted missile.

Israel’s Magen David Adom rescue services said it was taking the man to the hospital.

The Iranian judiciary's Mizan news agency said Saturday that the two men who were hanged belonged to the Iranian exile group Mujahedeen-e-Khalq.

The agency said Abul-Hassan Montazer and Vahid Bani-Amirian were convicted of “being members of a terrorist group.”

This brings to six the total number of MEK members executed since the start of the war.

Activists and rights groups say Iran routinely holds closed-door trials in which defendants are unable to challenge the accusations they face.

The Israeli military said on Saturday that its air force struck ballistic and and anti-aircraft missile storage sites in Tehran.

It said the strikes a day earlier included weapons manufacture sites as well as military research and development facilities in the Iranian capital.

It said the strikes are part of an ongoing phase to increase damage to Iran's “core systems and foundations.”

Authorities in Dubai said the facades of two buildings were damaged by debris from intercepted drones, including one belonging to U.S. tech firm Oracle. No injuries were reported.

Iran’s Revolutionary Guard has threatened to attack Oracle and 17 other U.S. companies after accusing them of being involved in “terrorist espionage” operations in Iran.

Previous Iranian drone strikes caused damage to three Amazon Web Services facilities in the United Arab Emirates and Bahrain.

As of Friday, 247 of the wounded were Army soldiers, 63 were Navy sailors, 19 were Marines and 36 were Air Force airmen, according to Pentagon data available online.

It is unclear if the data includes any of the service members involved in the downing of two combat aircraft reported Friday.

Most of the wounded — 200 — were also mid to senior enlisted troops, 85 were officers and 80 were junior enlisted service members.

The current death toll remains at 13 service members killed in combat.

Palestinian Muslims attend Friday prayers outside Jerusalem's Old City due to restrictions linked to the Iran war, April 3, 2026. (AP Photo/Mahmoud Illean)

Tamara and her sister Amal color pictures on the floor as their parents, Sara and Ahmed, who fled their village of Khiyam in southern Lebanon due to Israeli bombardment, sit inside a tent used as a shelter in Beirut, Lebanon, Friday, April 3, 2026. (AP Photo/Emilio Morenatti)

Mohammad Qubaisi, 53, with burn wounds from an Israeli airstrike on southern Lebanon undergoes surgery by Dr. Mohammed Ziara, left, and his team, at the Sidon Government Hospital in Sidon, Lebanon, Thursday, April 2, 2026. (AP Photo/Emilio Morenatti)

A bridge struck by U.S. airstrikes on Thursday is seen in the town of Karaj, west of Tehran, Iran, Friday, April 3, 2026. (AP Photo/Vahid Salemi)

FILE - An F-15E Strike Eagle turns toward the Panamint range over Death Valley National Park, Calif., on Feb. 27, 2017. (AP Photo/Ben Margot, File)