'Fantasy Writing': Henry Winkler blasts Kevin Hassett's defense of low consumer sentiment

As U.S. consumer sentiment fell to a record low in May amid surging gas prices and high cost of living, President Donald ​Trump's Director of the National Economic Council, Kevin Hassett, came out in defense of the economy, claiming the survey was partisan. Hassett dismissed the consumer sentiment numbers, claiming they were propped up by Democrats, which upset critics, including Henry Winkler, who labelled the claims "fictional."

During an interview on Fox News' 'Sunday Morning Futures', host Jackie DeAngelis asked Hassett about the rising gas prices that led to the record-low consumer sentiment in the latest report published by the University of Michigan. Hassett responded, saying the survey conducted by the university was skewed as the numbers were tipped in favor of Democrats. He claimed that during the Biden administration, inflation was at an all-time high, yet the consumer sentiment was spun positively. "The left-wing media is driven by Democrats who have Trump derangement syndrome," Hassett said. Reacting to the clip of the interview, Winkler wrote on X: "Wow !! Fantasy writing at its highest."

Defending the economy further, Hassett referred to the consumer confidence report, which he claimed was a more accurate metric to measure the sentiment of people. He pointed to last month's numbers, which showed the consumer confidence index climbed 0.6 points to 92.8 in April, a stark contrast with the University of Michigan's Surveys of Consumers. "People see their incomes growing, and the consumer confidence survey is actually still a good economic indicator. That's why you're seeing retail sales go up," Hassett said, further pointing to the GDP growth projections being north of 4%. Earlier, Hassett told CBS's 'Face the Nation' that the consumer sentiment survey should be renamed to consumer "political sentiment," claiming that the numbers marked low only among Democrats, while among Republicans, the sentiment didn't shift and relatively remained steady. 

However, the University of Michigan's report last week showed sentiment among Republicans and Independents dropped to the lowest level of ‌Trump's second term. The overall index dropped to 44.8, an all-time low, from 48.2 earlier this month. In the month of April, the index was at ​49.8 at a time when consumer confidence was at its highest. Reports suggest the US-Israeli war in Iran and the subsequent oil supply crunch and price shocks have worsened the sentiment, which was already burdened with years of high inflation and an affordability crisis.

According to the American Automobile Association, the Memorial Day weekend gas prices rang up the highest they’ve been in four years, with the national average for a gallon reaching $4.56, up by 3 cents over last week and $1.38 more than last year. Thus, Joanne Hsu, the director of the Surveys of Consumers, noted that the cost of living continues to be the greatest factor. "The cost of living continues to be a first-order ​concern, with 57% of consumers spontaneously mentioning that high prices were eroding their personal finances, up from 50% last month," he told Reuters.