Scott Bessent gives candid assessment of U.S. economy

The U.S. economy is sending Americans plenty of puzzling signals lately. According to NPR reporting , employers added 162,000 jobs in August, but wholesale prices jumped 5.4% from a year earlier.

That said, Treasury Secretary Scott Bessent said there's a reason economic confidence remains tough to rebuild.

For households, the test is pretty clear: Does their paycheck stretch far enough? A robust jobs report offers reassurance but does little to erase the frustration of paying more for everyday necessities.

At the same time, investors face their own version of that question. An economy that continues to move can effectively support healthier corporate profits, yet sticky inflation complicates matters for borrowing costs and stock valuations.

He's defending the administration's economic agenda while acknowledging why so many Americans are unconvinced that their conditions are improving.

Speaking with Fox News anchor Bret Baier on the Economic Club of New York's "The Forum," hosted by CNBC's Becky Quick , Bessent offered an optimistic take with some revealing qualifications.

His assessment is that the economy might be holding up, but many Americans are still waiting to feel better off.

Bessent says Americans need to feel the recovery

In his sit-down interview with CNBC, Bessent argued that Americans' frustration with the economy is understandable, even as spending numbers show consumers are holding up.

He rejected the idea that households are simply failing to appreciate the positive economic numbers.

"The American people got torched," Bessent said, underscoring the accumulated rise in prices and the pressure on inflation-adjusted wages.

"We had a price level change, which is very difficult to bring down," he said.

For some color, annual inflation eased from 3.5% in June to 3.4% in July, but consumer prices are still rising, according to the Bureau of Labor Statistics .

Still, Bessent points to a growing gap between how people describe the economy and how they behave.

Drawing on his investing background, he said he also looks at the investing sentiment alongside actual spending.

"Right now, we're still seeing consumers spend," he said, adding that credit-card delinquencies haven't worsened, either.

For perspective, consumer spending rose 0.2% in July, while the New York Fed said credit-card delinquency transitions were mostly steady in Q2, though still elevated.