On Tuesday night, President Donald Trump addressed a joint session of Congress, highlighting the domestic and foreign policy changes his administration has made in the first six weeks of his second term.
The speech, which set a record at over 90 minutes, touched upon a myriad of economic policy issues that will directly impact business owners.
In a CBS YouGov poll of watchers (51% described themselves as Republicans, 27% as Independents, and 20% as Democrats), 76% approved what they heard from the president.
In the address, Trump defended his tariffs, saying it would affect the economy but only in the short term.
“There’ll be a little disturbance,” he said. “But we’re OK with that. It won’t be much.”
Trump also said he wants to end the Chips Act, the Biden-era $52 billion subsidy program for semiconductor manufacturing.
In response to the address, Josh Lipsky, senior director of the Atlantic Council’s GeoEconomics Center, said Trump’s speech means he is serious about tariffs.
“The most significant line on trade in the president’s address wasn’t about steel, aluminum, or farming. It was when Trump said tariffs are ‘about protecting the soul of our country,'” Lipsky said. “These seven words should put the whole world on notice that Trump is serious about tariffs. To him, they are not just a negotiating tool. It is possible that, within the next several months, we could be facing a global trade war.”
When it comes to investors, Michael Schulman, chief investment officer at Running Point Capital Advisors, told Reuters that reaction should “overall be positive.”
“Cutting taxes on individuals and domestic manufacturing and 100% immediate capex deductions will incentivize business spending as long as corporations believe the consumer will be there to spend,” Schulman said. “Investor reaction should overall be positive since disposable income may rise when these policies are passed.”
Others thought the speech was too “on script.”
Reflection Asset Management President Jason Britton told Reuters: “The speech will have a muted reaction as much of the positive sentiment was priced in already.”
“It was as expected and a moment where the president stayed on script and there’s little to no aftermath,” Britton added.
You can watch the full speech, here.