{"id":196563,"date":"2025-11-23T20:47:08","date_gmt":"2025-11-23T20:47:08","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/196563\/"},"modified":"2025-11-23T20:47:08","modified_gmt":"2025-11-23T20:47:08","slug":"no-recession-risk-for-us-economy-as-a-whole-after-11-billion-shutdown-hit-bessent-says","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/196563\/","title":{"rendered":"No recession risk for US economy as a whole after $11 billion shutdown hit, Bessent says"},"content":{"rendered":"<ul data-testid=\"Summary\" class=\"summary-module__summary__QjADA\">\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Bessent says inflation due to services economy, not tariffs<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Treasury secretary says Republicans should end filibuster in event of another shutdown<\/li>\n<li data-testid=\"Body\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf summary-module__point__UgXPz\">Bessent says administration working to lower prices where it can<\/li>\n<\/ul>\n<p>WASHINGTON, Nov 23 (Reuters) &#8211; Treasury Secretary Scott Bessent on Sunday said the 43-day <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/legal\/government\/us-house-vote-deal-end-longest-government-shutdown-history-2025-11-12\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">government shutdown<\/a> caused an $11 billion permanent hit to the U.S. economy, but he was optimistic about growth prospects next year given easing interest rates and tax cuts.<\/p>\n<p>Bessent told NBC&#8217;s &#8220;Meet the Press&#8221; program that parts of the U.S. economy that are sensitive to interest rates, including housing, had been in recession, but he did not see the entire economy at risk of negative growth.<\/p>\n<p data-testid=\"promo-box\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl body-module__small_body__gOmDf article-body-module__promo-box__hVl8h\"> Sign up  <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/us\/no-recession-risk-us-economy-whole-bessent-tells-nbc-2025-11-23\/undefined?location=article-paragraph&amp;redirectUrl=%2Fworld%2Fus%2Fno-recession-risk-us-economy-whole-bessent-tells-nbc-2025-11-23%2F\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">here.<\/a><\/p>\n<p>He blamed the services economy, not U.S. President <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/us\/donald-trump\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">Donald Trump&#8217;s<\/a> sweeping <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/business\/tariffs\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">tariffs<\/a>, for inflation &#8211; repeating the Trump administration&#8217;s longstanding take &#8211; and added that he expected lower energy prices to drive down prices more broadly.<\/p>\n<p>Trump has focused intensely on affordability in recent weeks after Democratic wins in state and local elections and his declining approval ratings &#8211; now at 38% &#8211; the lowest since his return to power, according to a recent Reuters\/Ipsos poll.<\/p>\n<p>Bessent struck an upbeat tone, despite <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/business\/us-factory-activity-slows-november-inventory-piling-up-amid-softening-demand-2025-11-21\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">recent data<\/a> showing a slowdown in U.S. factory activity as higher prices caused by tariffs on imports restrained demand. The University of Michigan&#8217;s consumer survey released on Friday also showed frustration among consumers about higher prices.<\/p>\n<p>&#8220;I am very, very optimistic on 2026. We have set the table for a very strong, non-inflationary growth economy,&#8221; Bessent said.<\/p>\n<p>Energy prices dropped in October while home sales rose, Bessent said, adding that the administration was continuing to work hard to bring down inflation, now running at 3% annually.<\/p>\n<p>The Treasury secretary said inflation was 0.5% higher in Democratic-controlled states than those run by Republicans, attributing the difference to increased regulation.<\/p>\n<p>HASSETT SEES BLOCKBUSTER 2026<\/p>\n<p>National Economic Council Director Kevin Hassett told Fox News&#8217;s &#8220;Sunday Morning Futures&#8221; that he expected 2026 to be &#8220;an absolute blockbuster year,&#8221; although there would be a &#8220;hiccup&#8221; in the fourth quarter of this year because of the longest government shutdown.<\/p>\n<p>Expectations for the fourth quarter have been halved, he said, forecasting growth of 1.5% to 2%, with an expected rise in manufacturing jobs to boost the scenario for 2026.<\/p>\n<p>Last week&#8217;s <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/us\/trump-signs-order-remove-tariffs-some-brazilian-agricultural-imports-2025-11-20\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">moves to cut tariffs<\/a> on food imports like bananas and coffee were the result of trade deals that had been negotiated for months, Bessent said. &#8220;Inflation is a composite number and we look at everything, so we are trying to push down the things we can control,&#8221; he added.<\/p>\n<p>Trump on Wednesday signed legislation ending the longest government shutdown in U.S. history, extending funding through January 30, and setting the stage for another potential showdown between Democrats and Trump&#8217;s Republicans next year.<\/p>\n<p>Bessent said Republicans should immediately vote to end the filibuster if Democrats closed the government again, something Trump has also demanded, but dodged a question on whether there were enough votes to do so.<\/p>\n<p>Policy changes that cap taxes on overtime, cut taxes on tips and Social Security for some individuals, and make auto loans deductible would boost real income levels for working Americans and help offset higher costs, Bessent said.<\/p>\n<p>Taxpayers would see substantial federal tax refunds in the first quarter of 2026 given the changes in tax rates, he added.<\/p>\n<p>The Trump administration also plans an announcement this week aimed <a data-testid=\"Link\" referrerpolicy=\"no-referrer-when-downgrade\" href=\"https:\/\/www.reuters.com\/world\/us\/trump-plans-more-steps-cut-healthcare-costs-coming-weeks-senior-white-house-2025-11-17\/\" class=\"text-module__text__0GDob text-module__inherit-color__PhuPF text-module__inherit-font__1P1hv text-module__inherit-size__EyiQW link-module__link__INqxZ link-module__underline_default__-okuC\" rel=\"nofollow noopener\" target=\"_blank\">at lowering healthcare costs<\/a>, Bessent said, echoing similar remarks from a senior White House official last week, but giving no details.<\/p>\n<p>A rash of trade deals would also help boost the economy, Bessent said, predicting new plant openings across the country.<\/p>\n<p data-testid=\"SignOff\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__extra_small__8Buss body-module__full_width__kCIGb body-module__extra_small_body__Bfz20 sign-off-module__text__LQAMP\">Reporting by Andrea Shalal and David Lawder; editing by Christina Fincher and Bill Berkrot<\/p>\n<p data-testid=\"Body\" dir=\"ltr\" class=\"text-module__text__0GDob text-module__dark-grey__UFC18 text-module__regular__qJJtA text-module__small__sph8i body-module__base__o--Cl 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Rights<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Bessent says inflation due to services economy, not tariffs Treasury secretary says Republicans should end filibuster in event&hellip;\n","protected":false},"author":2,"featured_media":196564,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[174],"tags":[82566,82519,2786,82703,82577,79,82517,84370,93089,82500,89882,82568,1802,109219,82705,82706,83800,84897,82543,82538,82545,82546,83395,82535,82556,82549,82541,98240,82550,82776,82553,83396,82536,84041,83397,96041,83391,82530,83393,84146,82531,84147,82779,98239,83392,82777,82547,84461,82539,82557,82537,82540,82554,82552,83394,82548,82551,83115,83116,179,18,55396,82578,82520,629,82516,45748,85214,88436,19,82505,84365,84368,17,83119,3503,50178,82701,83122,83123,82565,82524,93088,82780,85212,82508,1540,83810,93087,82579,82576,83362,82563,82704,82533,82707,83387,1623,107,1545,83127,82518],"class_list":{"0":"post-196563","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-agri","9":"tag-amers","10":"tag-asia","11":"tag-asxpac","12":"tag-br","13":"tag-business","14":"tag-ceeu","15":"tag-cen","16":"tag-cisc","17":"tag-cmpny","18":"tag-coen","19":"tag-cof","20":"tag-com","21":"tag-combld","22":"tag-cttl","23":"tag-cttlb","24":"tag-cwp","25":"tag-dbt","26":"tag-destabn","27":"tag-destabx","28":"tag-destafa","29":"tag-destbnx","30":"tag-destc","31":"tag-destcsa","32":"tag-destd","33":"tag-destdnp","34":"tag-deste","35":"tag-desteln","36":"tag-destfun","37":"tag-destg","38":"tag-destgns","39":"tag-destgro","40":"tag-destlby","41":"tag-destm","42":"tag-destmtl","43":"tag-destnat","44":"tag-desto","45":"tag-destocabsm","46":"tag-destoil","47":"tag-destortao","48":"tag-destousbsm","49":"tag-destousdnm","50":"tag-destoustpm","51":"tag-destpcm","52":"tag-destpen","53":"tag-destpge","54":"tag-destpsc","55":"tag-destptd","56":"tag-destrast","57":"tag-destrbn","58":"tag-destreulb","59":"tag-destrnp","60":"tag-destrws","61":"tag-destrwsa","62":"tag-destsof","63":"tag-destu","64":"tag-destucdptest","65":"tag-eci","66":"tag-eco","67":"tag-economy","68":"tag-eire","69":"tag-emea","70":"tag-emrg","71":"tag-europ","72":"tag-fed","73":"tag-gb","74":"tag-gen","75":"tag-gfin","76":"tag-gvd","77":"tag-ie","78":"tag-inds","79":"tag-infl","80":"tag-int","81":"tag-ireland","82":"tag-iser","83":"tag-job","84":"tag-latam","85":"tag-liv","86":"tag-mce","87":"tag-mplt","88":"tag-mtpix","89":"tag-namer","90":"tag-nasia","91":"tag-packageus-top-news","92":"tag-plcy","93":"tag-pol","94":"tag-potus","95":"tag-privt","96":"tag-ru","97":"tag-samer","98":"tag-sfts","99":"tag-topicbusiness-tariffs","100":"tag-topicmarkets-commodities-agriculture","101":"tag-topicmarkets-commodities-livestock","102":"tag-topnws","103":"tag-trd","104":"tag-trf","105":"tag-ua","106":"tag-us","107":"tag-war","108":"tag-wash","109":"tag-weu"},"share_on_mastodon":{"url":"","error":"Validation 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