Economic outlook is worsening and Trump is getting blamed, CNBC survey finds

Registered voters remain deeply concerned about their financial future despite a surging stock market and lower gas prices, according to the latest CNBC All-America Economic Survey.

Amid the angst over rising prices for food and other goods, President Donald Trump's approval rating is just 40%, with high negatives on his handling of the economy and the war with Iran.

However, the news isn't much better for Democrats. The party has just a 4-point edge on which party should control Congress.

Despite a booming stock market and improving inflation numbers, the public is as depressed about the economy as it has been since the years just after the pandemic and increasingly concerned about the cost of everyday goods, according to the latest CNBC All-America Economic Survey.

The result: continued deeply negative approval numbers for President Donald Trump yet only a modest advantage for Democrats when it comes to the public's preference for control of Congress.

The survey of 1,000 registered voters nationwide, with a margin of error of plus or minus 3.1%, found that 61% of the public is pessimistic about the current state of the economy and about the outlook for the future.

That is the highest percentage since December 2023, when the country was just emerging from the pandemic-era inflation. Only 25% are optimistic about the economy now and for the future.

More voters expect things to get worse by a 41/29% margin, leaving the electorate in a distinctly sour mood heading into the midterm election cycle.

In response to higher prices, 47% of the public report cutting back on essential items, like food and medical care, up 6 points from the April survey.

Two-thirds say they are reducing purchases of nonessentials, like eating out and entertainment, up 5 points.

Registered voters also say they are reducing travel and using credit cards in greater percentages than they did in April.

These numbers come amid a recent decline in oil and gasoline prices and stand in contrast to steady and modest growth reported in national retail sales.

But the national numbers could be driven by spending from the wealthy.

The All-America survey finds that 60% of those with incomes below $30,000 are reducing their outlays for essentials, compared with just 35% of those with incomes above $100,000.

The modest drop in gasoline prices over the past several weeks is not enough to offset the lingering effects of both the recent and past surges in prices.

People are still paying a lot more for stuff than they were a year and a half ago, two years ago, and that's recent enough in memory that it still hurts and it still drives a lot of anger.

When gas prices drop 50 cents for a month, that's just not enough to make up the difference.

Trump's approval ratings remain deeply underwater, though largely unchanged from the CNBC April survey.

The latest survey found the president's net a...