U.S. President Donald Trump delivered a highly partisan, prime-time address to the nation on Wednesday, previewing his 2026 agenda while seeking to shift responsibility for persistent economic pressures onto Democrats and his predecessor, former president Joe Biden.
Speaking from the White House’s Diplomatic Reception Room and flanked by Christmas trees and a portrait of George Washington, Trump announced a one-time $1,776 “warrior dividend” for U.S. military personnel ahead of Christmas. The bonus, which would cost roughly $2.6 billion, is intended for about 1.45 million service members and references the upcoming 250th anniversary of the Declaration of Independence.
Trump argued the payment would be funded by tariff revenue, even as those same import taxes have contributed to higher consumer prices and renewed inflation concerns. He insisted the checks were already being processed.
Although presidential addresses to the nation are typically less overtly political, Trump’s speech closely resembled his campaign-style rhetoric. He placed the blame for rising costs on Democrats, saying he had “inherited a mess” and was now fixing it, while promising an unprecedented economic boom.
The address came at a sensitive moment for the president, as public polling shows growing frustration over inflation, housing costs and a weakening job market. With midterm elections looming in 2026, Trump and Republicans face a test of voter confidence that will determine control of Congress.
Trump sought to reassure Americans by claiming inflation was easing, incomes were rising and foreign investment was surging, repeating his frequent assertion that the United States is now “the hottest country anywhere in the world.” He also pledged aggressive housing reforms and predicted lower mortgage rates next year.
However, economic data paints a more mixed picture. While stock markets have risen and gas prices have fallen, inflation has climbed back to an annual rate of three per cent since Trump introduced tariffs in the spring. Job growth has slowed significantly, averaging just 17,000 new positions a month, and the unemployment rate has increased to 4.6 per cent.
Beyond the economy, Trump continues to face challenges on immigration, health care and foreign policy. His mass deportation efforts have drawn criticism despite approval for tougher border enforcement, while uncertainty remains over how his administration will address expiring health insurance subsidies tied to the Affordable Care Act.
After the cameras stopped rolling, Trump reportedly asked aides for feedback on his performance, receiving reassurance that the address had gone well. White House Chief of Staff Susie Wiles later noted that the president kept precisely to the planned 20-minute length.
