Trump's Approval Rating Down Amid Government Shutdown and National Guard Action

North America
Source: Benzinga.comPublished: 10/12/2025, 12:38:02 EDT
Donald Trump
Government Shutdown
Political Risk
Public Opinion Polls
US Government
Trump's Approval Rating Down Amid Government Shutdown and National Guard Action

News Summary

President Donald Trump's approval ratings have declined amidst the third week of an ongoing government shutdown and the deployment of National Guard troops in Chicago, according to recent polls. Despite Trump blaming Democrats for the shutdown over demands for extended healthcare coverage, polls suggest a significant number of Americans hold Republicans and Trump more responsible than Congressional Democrats. An Economist/YouGov poll showed Trump's approval at 39%, with 41% blaming Republicans and Trump. A Reuters/Ipsos poll put Trump's approval at 40%, also indicating that 58% of Americans believe troops should only be deployed for external threats. Gallup polls show a consistent 40% approval, which is lower than any other modern president at the same stage of their tenure, across both his 45th and 47th presidencies. These surveys reflect public sentiment on the handling of these critical issues and could influence future political dynamics.

Background

The U.S. government has entered its third week of a shutdown since early October 2025, leading to disruptions in federal services and economic uncertainty. Concurrently, President Donald Trump ordered the deployment of National Guard troops in Chicago, a move that has sparked public debate regarding domestic security measures and the boundaries of military force utilization within the country. Donald Trump is the incumbent U.S. President, having been re-elected in November 2024. These events, occurring early in his second term, present significant challenges to his administration's public image and political capital. Public polls have become a key metric for gauging public reaction to these controversial developments.

In-Depth AI Insights

How might the Trump administration's policy efficacy and market confidence evolve amidst a government shutdown and declining approval ratings? - Weakened political capital could severely hinder the administration's ability to advance its legislative agenda, such as fiscal stimulus measures or significant regulatory reforms. This could lead to policy gridlock, exacerbating market uncertainty regarding future policy direction. - Markets may perceive increased anxieties about the U.S. economic outlook and policy stability, particularly in sectors reliant on government contracts or regulatory approvals. This could trigger volatility in relevant industry stocks and prompt investors to re-evaluate their exposure to specific U.S. assets. - Domestic turmoil and declining approval might also embolden political opposition, making it more difficult for the administration to secure bipartisan compromises in Congress, thereby prolonging cycles of policy uncertainty. What are the broader implications of prolonged government shutdowns and domestic troop deployments for investor confidence and sector-specific risks? - A prolonged government shutdown not only directly drags on GDP growth but also impacts corporate earnings, especially for companies heavily reliant on government contracts or approvals. This could lead to a decline in overall investor confidence in the U.S. economy and encourage a shift towards more defensive assets. - The deployment of domestic troops could be interpreted by markets as a signal of social and political instability, which may further erode consumer and business confidence. Certain sectors, such as retail, tourism, and real estate, could face negative impacts. - Investors might begin to re-evaluate the risk premium associated with the U.S. as an investment destination, especially if domestic instability is amplified against a backdrop of escalating geopolitical tensions. How might these domestic political challenges influence the Trump administration's international relations and global trade policy? - Facing domestic approval pressures, the Trump administration might double down on more aggressive or protectionist trade policies to solidify its base, potentially escalating global trade tensions. - Conversely, to seek domestic political victories or divert public attention, the administration might also pursue quick agreements on certain international issues, though these might lack long-term strategic depth. - U.S. domestic political instability could diminish its diplomatic leverage on the global stage, impacting the trust of key allies and potentially putting the U.S. at a disadvantage in negotiations with China, the EU, or other major trading partners, with ripple effects on global supply chains and commodity markets.