The next is the transcript of the interview with White Home Nationwide Financial Council Director Kevin Hassett that aired on “Face the Nation with Margaret Brennan” on Nov. 30, 2025.
NANCY CORDES: We flip now to the Director of the White Home Nationwide Financial Council, Kevin Hassett. Kevin, thanks a lot for being with us.
KEVIN HASSETT, DIRECTOR NATIONAL ECONOMIC COUNCIL: Nice to be right here.
NANCY CORDES: So we have all eaten the turkey. Vacation buying has begun in earnest. So let’s speak about what the vacation buying season seems to be like. We have got new surveys from Goldman Sachs and Financial institution of America that paint a modest image of the vacation spending outlook. They are saying low and center revenue People are planning to tug again somewhat bit as a result of they understand that costs are increased. And so they say if spending is up this yr, it should be as a result of items, partly, are costlier. Is that this the short-term consequence or long run results of the Trump tariffs?
HASSETT: Proper. Properly, what we have seen- these have been reviews about what folks anticipated would occur over the Thanksgiving weekend, however we now have arduous information for Black Friday and even for Saturday and the net gross sales have been up virtually 10%, in retailer gross sales have been up 4%, it was actually a blockbuster weekend after Thanksgiving. And so I believe that the oldsters who’re saying, wow, possibly individuals are going to be troubled about going again and getting presents for the youngsters and so forth. They have been disproven this weekend. And I believe the reason being that people- incomes are up this yr. We had an incredible jobs report and with robust revenue and the federal government shut down over so that individuals presumably have somewhat pent up demand as nicely. I believe that we’re an incredible restoration from a weak few weeks due to the shutdown.
NANCY CORDES: Positive. I am questioning how a lot of that spending improve you suppose is attributable to the truth that costs are up. Let me offer you an instance. The maker of Tonka Vehicles stated a pair days in the past {that a} toy truck that value $30 final yr goes to value $40 this yr, partly as a result of they misplaced about eight weeks of delivery as a result of U.S. commerce battle with China. What’s your recommendation to vacation customers who do not need to spend extra this yr than they did final yr, or cannot afford to spend extra?
HASSETT: Proper. Properly, as you recognize, it is determined by what you are . Like egg costs are down. Gasoline costs drop beneath $2 a gallon in a number of locations, mortgage charges are down–
NANCY CORDES: –you imply below- gasoline costs on common are nonetheless at $3 a gallon.
HASSETT: Yeah that is proper for just a few states they bought beneath two. And so the purpose is simply that- in the long run, what issues is within the combination, the typical throughout every thing that everyone buys, and that averaged about 5% below Joe Biden, and is somewhat bit above two and a half percent- about lower in half for President Trump. And the underside line, although, is actually the wages have been rising sooner than costs, and that is why actual incomes this yr are up by about $1,200 up to now. That is why we might have an incredible Black Friday and an incredible Thanksgiving gross sales weekend as a result of folks really feel like they’ve extra money of their pockets. Though you are proper, there are some issues that value extra, some issues that value much less, however on common, we’re about half the inflation charge of Joe Biden
NANCY CORDES: Polls present that the general public, regardless of a number of the information you are presenting, is getting extra skeptical. In our newest CBS Information ballot, 68% of People stated they consider that President Trump’s insurance policies are pushing grocery costs up. They’re up about 1.4% yr to this point. And financial sentiment, the quantity of people that suppose the financial system is nice, has really dropped six factors since he took workplace. How do you clarify that?
HASSETT: Properly, to begin with, you talked about fairly precisely, the 1.4% improve in grocery costs. I believe the fascinating factor about that’s that that is approach beneath the Fed’s goal of two for every thing else, proper? And so that you’d must concede that 1.4% could be very, very low inflation. And so I believe that the underside line is that we have got the ‘Huge, Lovely, Invoice’ reducing taxes on extra time, taxes for suggestions and so forth, and all that cash goes to begin to be in folks’s pockets, and that is why they’re optimistic about subsequent yr. Scott Bessent stated final week that he is first half of subsequent yr that might be within the 4% vary. And the reason being that we handed the tax cuts in July, and they also did not have time to vary all of the tax types and every thing. And so individuals are going to get actually, actually huge refunds within the fall as nicely. And so we’re actually optimistic, and we predict that the excellent news round Thanksgiving is an indication of one thing that is even stronger to return.
NANCY CORDES: You talked about buying energy. One factor that’s going to have an effect on buying energy for 22 million People is the expiration of Obamacare premium subsidies. Final week, a humorous scenario. The White Home floated this plan to increase the subsidies for 2 years, you then dropped the proposal, after which the President stated on Air Power One, any individual stated I needed to increase it for 2 years. I do not need to prolong it for 2 years. I might moderately not prolong them in any respect. Was this a case of the fitting hand not speaking to the left hand?
HASSETT: No, I believe that individuals have been speaking to one another. However what occurred as, you recognize, as knowledgeable journalist, is that generally folks leak pre-decisional issues which might be confidential and pre-decisional. And I believe that any individual did that, after which it rolled again as a result of it hadn’t been via the entire course of, however President Trump has been clear that he is very involved about the price of well being care, and that is why we had $50 billion for rural hospitals within the ‘Huge, Lovely, Invoice,’ why we tried to get $30 billion in for value sharing. And the Democrats did not like that. They’d another strategy. And so I believe that what we’ll see now, between now and Christmas, is that individuals are going to work- work this out, as a result of we have now an answer. The White Home has an answer for cost- value sharing, and the Democrats have another. And, you recognize, folks don’t desire for the few seniors which have actually, actually large will increase to see these. However remember, the overwhelming majority of individuals within the Reasonably priced Care Act are getting their insurance coverage for lower than $50 a month, and so- so whereas this is a matter that must be labored out, we do not need to trigger panic for the oldsters who’re fearful that they are going to lose the factor that they’ve, it is actually simply the very, very excessive value people who find themselves nearer to retirement age which have the issue.
NANCY CORDES: Bloomberg is reporting, as I am certain you recognize, that you’re now thought of the entrance runner to interchange Fed Reserve Chair Jay Powell when his time period expires within the spring. Secretary Bessent, who’s heading up this search, stated he was holding closing interviews this week. How did yours go?
HASSETT: , I’m not certain that Bloomberg has the story proper. I am actually honored to be amongst a gaggle of actually nice candidates. The factor that I used to be most spectacular about this week when that story leaked was that actually, I believe the information for markets was that President Trump is near saying a brand new individual who’s going to interchange Jay Powell. And should you take a look at the market response to that, it was very, very optimistic. We had an incredible Treasury public sale. Rates of interest went down. And so I believe that the American folks might anticipate President Trump to select any individual who’s going to assist them, you recognize, have cheaper automobile loans and simpler entry to mortgages at decrease charges. And that is what we noticed out there response to the rumor about me, which, you recognize, might be about as precious because the rumor concerning the well being care coverage that we simply talked about.
NANCY CORDES: Properly, I suppose we’ll discover out in the event that they’re proper sooner moderately than later, after we hear the president’s choice. So for now, Director of the White Home, Nationwide Financial Council, that is your title at the moment. Kevin Hassett, thanks a lot.
HASSETT: Thanks.
NANCY CORDES: And we’ll be again in a second.
