Takeaways from Trump’s State of the Union address to Congress

By Trevor Hunnicutt and Gram Slattery

WASHINGTON, Feb 24 (Reuters) – President Donald Trump delivered his State of the Union address to a joint session of Congress on Tuesday; This is a potentially pivotal moment as the White House looks to shore up support from Republican voters ahead of November’s midterm elections.

Trump’s speech came against a backdrop of rising tensions with Iran and voters’ frustration with the high cost of living.

RISKY BUSINESS

Trump put dollars and cents at the center of his speech but stuck with a risky message about the economy that some strategists warn could lose his Republican Party in November’s congressional elections, when all 435 House seats and nearly a third of the Senate are in play. Democrats hope to wrest control from Republicans, who hold majorities in both chambers.

According to Trump’s narrative, inflation, mortgage rates and gas prices are falling, while construction and factory employment is increasing, as are the stock market, oil production and foreign direct investment. But as in many of his recent speeches on the subject, he avoided acknowledging the pain Americans still feel from rising prices.

Data show that inflation stagnated or even increased last year, and the economy lost factory jobs last year.

Voters tell pollsters they are worried about the economy and unhappy with how Trump is handling the issue. Fifty-six percent disapprove of his handling of the economy, while 36 percent approve, according to a Reuters/Ipsos poll.

Strategists say Trump must consider whether he will be the chief economic ambassador for Republicans as they fight to keep control of Congress in November’s midterm elections.

(Reporting by Trevor Hunnicutt and Gram Slattery, Editing by Ross Colvin and Deepa Babington)