Trump live updates: Just 37% of Americans approve of president’s handling of economy, poll shows

The majority of Americans now fear a recession, even as Donald Trump conceded ultra-high tariffs on China would fall but would not hit zero

JD Vance admits tariffs will cause 'profound changes'

The majority of Americans now fear a recession, new polling shows, while more than half agree that Donald Trump's policies would make a comfortable retirement more difficult.

Just 37 percent approved of Trump’s economic handling, a Reuters/Ipsos poll found, as the president conceded that ultra-high tariffs on China would fall but warned they would not hit zero.

In a softening of his stance towards Beijing, Trump said negotiations over a trade deal would “go pretty quickly” and that trade representatives from both countries would be “very nice” in upcoming talks.

However, China stated that the U.S. should cease making threats if it wants a trade deal, accusing America of exerting “extreme pressure” as it tried to reach an agreement.

The Wall Street Journal now reports that the White House is considering slashing China tariffs by as much as half in order to de-escalate tensions with Beijing.

The president also walked back a previous suggestion he could fire Federal Reserve chair Jerome Powell, telling reporters on Tuesday: "I have no intention of firing him. "

Those combined comments buoyed global financial markets on Wednesday, with stocks rising globally.

Key Points

• Just 37% approve Trump’s economic handling, poll finds
• White House mulls slashing China tariffs to de-escalate trade war tensions, report says
• China says U.S. should cease threats if it wants a trade deal
• Donald Trump admits China tariffs will drop – but not to zero
• Elon Musk is cutting back his work for Trump administration
• Trump has ‘no intention’ of firing Federal Reserve chair Jerome Powell

[23 April 2025 08:20 · Rachel Clun]

IMF slashes U.S. economic forecast as world ‘entering a new era’

The outlook for the U.S. economy has significantly worsened, according to the International Monetary Fund, due to unprecedented disruption and uncertainty caused by Donald Trump’s tariffs.

The U.N.’s top financial agency slashed its growth forecast for the American economy to just 1.8 percent for the year, down from 2.7 per cent, one of the largest negative economic growth revisions from the IMF’s latest global outlook.

While the IMF does not expect a U.S. recession, it has raised the odds of one occurring this year from 25 percent to 37 percent.

"We are entering a new era," Pierre-Olivier Gourinchas, chief economist at the IMF, said. "This global economic system that has operated for the last eighty years is being reset."

The International Monetary Fund has warned tariff uncertainty will slow economic growth around the world, cutting its global economic growth forecast by 0.5 percentage points for this year, downgrading growth in nearly all countries.