One year into his second term, President Donald Trump declared the United States the “hottest country anywhere in the world” during a speech at the World Economic Forum. He praised the nation’s economic performance, claiming “virtually no inflation and extraordinarily high economic growth.” Trump also briefed reporters in Washington, holding a stack of papers titled “365 WINS IN 365 DAYS: President Trump’s Return Marks New Era of Success, Prosperity.” While the U.S. economy has shown resilience, independent data suggests a more nuanced picture. Employment growth slowed sharply during Trump’s first year of the second term. Just 584,000 jobs were added in 2025, far below the annual job gains of over 2 million seen under his predecessor, Joe Biden. Excluding recession years, this was the slowest 12-month period for U.S. job creation since 2003. Policy actions such as Department of Government Efficiency cuts to federal staffing, a campaign of mass deportations, and sweeping global tariffs affected the labor market. Manufacturing jobs declined by 72,000 after Trump’s “reciprocal” country-specific tariffs in April 2025, which he called “Liberation Day.” Despite slower employment growth, U.S. productivity and GDP exceeded some expectations. Real GDP rose at an annual rate of 4.3% in the third quarter of 2025, the highest quarterly growth since the third quarter of 2023. The increase reflected stronger consumer spending, higher exports, and increased government expenditure, partially offset by lower investment. Economists forecast even higher growth for the fourth quarter. The Atlanta Federal Reserve projected GDP at 5.4%, signaling continuing economic momentum despite uneven job gains. Inflation remained above the Federal Reserve’s 2% target, rising 2.7% from December 2024 to December 2025. Price increases varied widely. Urban electricity costs rose 6.7%, housing prices by 2.8%, and auto insurance by 0.8%. Grocery prices increased 1.9%, though certain staples saw sharp rises. Orange juice jumped 37.6%, and ground beef rose 16.4%, while egg prices fell more than 20%. Gasoline prices dropped 11.5% on average since Trump returned to office, though Trump overstated the decline, claiming an average of $2.31 per gallon while the actual national average was around $2.83. Trump also highlighted strong stock market gains, with major indexes reaching record highs during his first year back. The S&P 500 rose 13%, while the Dow Jones and Nasdaq also set records. However, these gains are modest compared with previous administrations: Biden’s first-year S&P increase was 16%, Trump’s first term saw 24%, and Obama’s first year returned 41% amid post-crisis recovery. Market volatility marked Trump’s anniversary on Jan. 20, with the S&P falling more than 2% amid concerns over potential trade disputes with Europe. His Greenland tariff threat contributed to the sell-off, prompting the EU to pause approval of a July trade deal. Trump defended his economic record, saying the U.S. is the “economic engine on the planet” and that American growth benefits the global economy. While some indicators show strength, analysts note the mixed results in employment, inflation, and market performance suggest caution in evaluating the administration’s claims.