CNBC's "Squawk Box" team discusses the Trump administration and its role in the economic outlook for 2026 with Stephen Moore, co-founder of Unleash Prosperity and former economic advisor to President Trump.

Steve Moore, co-founder of Unleash Prosperity and former advisor to President Trump, discussed the US economy's performance and the effects of tariffs in a recent interview. Moore acknowledged that while tariffs have played a role in bringing foreign countries to the negotiating table, he remains concerned about their negative economic impact, particularly as a tax on consumers.

Moore praised the trade deals negotiated by Trump with several countries, noting the resulting concessions favorable to the US. He highlighted that the economy has outperformed forecasts, with growth rates nearly double what was predicted, and emphasized that sustained growth above 3% is key to managing the national debt.

Trump negotiated better trade deals but tariffs worry me: Moore

All right. Let's talk to Steve Moore about the economy, Trumponomics, heading into 2026. He is the co-founder of Unleash Prosperity. He's also a former economic advisor to President Trump. Good to see you, Steve. Hi, Joe. Merry Christmas. Happy New Year. Yep, same to you. The president says the T word, tariffs, is the most beautiful word in the English language. On the other side of that, we had the naysayers forecasting a deep recession starting in April of last year from the tariffs. You're somewhere in between. Where do you stand on tariffs? You figure strategically, the rationale is that they could rebalance certain parts of global trade in a positive way. But in general, you are not a tariff. You don't think it's the most beautiful word in the English language. Well, Joe, let's start with where we were exactly a year ago when you had all of the blue chip forecasters, including the Fed and the professional and academic economists. And if you looked at the forecast for the blue chip, it was that we would have about 1.9% growth for 2025. And we now know with pretty much certainty what the growth rate will be according to the Atlanta Federal Reserve Board through December 23. And we've had growth rates over the last three quarters that have been twice that high, almost twice that high. So we've got an economy that is doing much, much better than the economists believed. And part of the reason the economists were so negative on the economy, Joe, is exactly the point you just made, tariffs. Now, you are exactly right. I'm not a big fan of tariffs, but you know what? I am a big fan of some of these trade deals that Trump has been able to pull off over the last 12 months with Korea, with China, with Japan, with Canada, with the Europeans, all making concessions to the United States in a very positive way. Now, Trump's saying he's going to bring $8 trillion of capital into the United States from the rest of the world. 18. 18. 18. That's the latest. I know Donald Trump never exaggerates, but I think that's an exaggeration. But let's say he's wrong by 90%. Let's say it's only $1 or $2 trillion. That's a huge amount of money being invested in the United States. I like the way he's been able to negotiate better deals for the US. But it does worry me with tariffs, because tariffs do have a negative effect on the economy. Right. Negative effect, maybe, on the economy. Although, when we view tariffs right now and what the economic backdrop is, at the very worst, you have to say that in spite of those, the economy has been doing very, very well. The president would say because of those. And in certain cases, he's right. The reason that a lot of those foreign countries came to the table was because of the tariffs. Exactly. There is a linkage between there that people don't, they just look purely at what it costs US businesses and it's a tax that's passed on the consumer. We understand all that, but long term, and Navarro and Lutnick make that case, long term, we haven't seen maybe some of the positive aspects of tariffs on manufacturing and everything else. But you put in the big, beautiful bill, and you put in oil and deregulation at $57, and you put in, I mean, there are some serious tailwinds going into next year. It could surprise people, don't you think, Dave? It could be, you think it'd be four next year? I mean, the White House was talking about five or even better. Well, there again, Donald Trump always exaggerates a little bit about what we're gonna get. I think 4% would be a bit of a stretch, but as long as we can get between three and 4%, that's a very strong number. And here's one of the major reasons we wanna strive for that higher growth rate. If you get the economic growth rate over 3%, Joe, you start turning the debt curve that we're all concerned about, the national debt and the massive deficits we're running. We wanna make sure the economy is growing faster than the debt. That's the main thing. And if you get to three and a half to 4% growth, you're gonna see exactly that, a turning down on that curve that is such a cancer cell in our economy right now.

Two helicopters collided above Hammonton, New Jersey, and one person has died, officials say. CBS News' Elaine Quijano reports.

Hammonton

Helicopters collide in New Jersey

U.S. President Donald Trump is meeting with Israeli Prime Minister Benjamin Netanyahu in Florida on Monday (December 29) as questions linger about the future of the U.S.-backed ceasefire in Gaza.

Palm Beach

Middle East Conflict

Trump and Netanyahu to meet in Florida to discuss Gaza ceasefire

In a new show of force, China has mobilized its navy, air force, and ground troops to simulate a blockade of the self-ruled island's key ports. The military drill comes on the heels of an $11bn US arms sale to Taipei.

Taipei City

China stages new military exercises around Taiwan

U.S. President Donald Trump said he believes both Ukrainian President Volodymyr Zelenskyy and Russian President Vladimir Putin truly want peace as he and Zelenskyy met in Florida. Some experts say Trump is 'delusional' if he truly thinks Putin wants peace.

Washington

Ukraine Invasion

Trump-Zelenskyy meeting ends with optimism but no deal

Although the U.S. security guarantees for Ukraine have been "100% agreed," they have a short expiration date, the Ukrainian president explained after revealing more details following his meeting with Trump on Sunday.

Florida

U.S. security guarantees for Ukraine set for 15 years, Zelenskyy says

China's military moved army, naval, air force and artillery units around Taiwan on December 29 for its "Justice Mission 2025" drills, as the island vowed to defend democracy and mobilized troops to rehearse repelling a potential Chinese attack.

China launches 'Justice Mission 2025' war games around Taiwan

President Trump spoke with Russian President Vladimir Putin by phone before meeting with Ukrainian President Volodymyr Zelenskyy in Florida on Sunday. Trump said he thinks both men are ready for peace.

Trump meets with Zelenskyy, insists Putin is ready for peace

Far-right politics have pushed further into the mainstream across much of Europe. Populist parties, even in opposition, are shaping national debates on migration and the economy. The trend reflects growing voter frustration over living costs, borders and political trust.

Berlin

Far-right politics gaining influence across Europe

Ukrainian President Zelenskyy is set to discuss a new peace plan draft with U.S. President Trump in Florida on Sunday (December 28). However, fresh Russian attacks on Kyiv have left a third of the city without power, undermining local confidence.

Kyiv

Kyiv residents fear escalation amid Zelenskyy-Trump peace talks

A report has sought to catalogue some of the most significant extreme weather events of the year. UK charity Christian Aid found that heatwaves are pushing the limits of human adaptation, hurricanes and typhoons are breaking records, and droughts are devastating lives across the globe. It's all coming at a heavy financial cost.

Top 10 natural disasters cost over $120 billion in 2025, report says

Russia attacked Kyiv and other parts of Ukraine with hundreds of missiles and drones on Saturday, ahead of what President Volodymyr Zelenskiy said would be a crucial meeting with U.S. President Donald Trump to work out a plan to end nearly four years of war.

Russian drones, missiles pound Kyiv ahead of Zelenskiy-Trump meeting

French actor Brigitte Bardot has died aged 91, her foundation said on Sunday (December 28). She shot to international fame dancing the mambo barefoot in "And God Created Woman," her tousled hair and fierce energy radiating a sexual magnetism rarely before seen in mainstream cinema.

Saint-Tropez

Brigitte Bardot, France's 'legend of the century', has died

A ceasefire is now in place between Cambodia and Thailand after weeks of cross-border fighting. But with nearly a million civilians displaced and trust in short supply, the focus now is on whether the guns will stay silent.

Bangkok

Thailand and Cambodia agree on ceasefire to end weeks of deadly fighting

The storm that hit the Northeast this weekend dropped up to a foot of snow in some areas. New York City saw its highest level of snowfall in nearly four years, and the region's three major airports experienced significant delays and disruptions.

New York

Powerful winter storm brings heavy snow to Northeast

For approximately 10 hours Saturday, Russia attacked the Ukrainian capital city of Kyiv with about 500 drones and 40 missiles. The attack comes one day before before Ukrainian President Volodymyr Zelenskyy meets with President Trump in Mar-a-Lago. Elizabeth Palmer has the latest.

Russia launches massive attack on Ukraine ahead of Trump-Zelenskyy meeting

Prime Minister Mark Carney and Ukrainian President Volodymyr Zelenskyy met today in Halifax to discuss economic aid amid the Russia-Ukraine war. This comes ahead of Zelenskyy’s plans to meet with U.S. President Donald Trump to discuss a peace deal.

Halifax Regional Municipality

Canada announces $2.5B in aid for Ukraine

President Trump said Thursday's strikes on Nigeria targeting ISIS were set for Wednesday but were delayed to Christmas Day for symbolic reasons. Mr. Trump claimed the Nigerian government is failing to protect Christians.

Washington D.C.

Trump says timing of Christmas Day strikes in Nigeria was intentional

The latest attack comes as presidents Zelenskyy and Trump prepare to meet in Florida on Sunday amid ongoing efforts to end the war.

One dead many injured after Russia launches massive attack on Kyiv

According to the Chinese foreign ministry, the sanctions entail freezing the companies’ assets in China and banning individuals and organisations from accessing them.

Beijing

China sanctions 20 American companies over arms sales to Taiwan

Somalia reacted angrily Friday (December 26) after Israel formally recognised the northern region of Somaliland as an "independent and sovereign state" -- the first country to do so. U.S. President Donald Trump said he opposed U.S. recognition of Somaliland in an interview with the New York Post.

Somaliland

Somalia denounces Israeli recognition of Somaliland

Thailand and Cambodia agreed to an "immediate" ceasefire on Saturday (December 26), the two countries said in a joint statement, pledging to end border clashes that killed dozens of people.

Buri Ram

Thailand and Cambodia agree to ceasefire

Somaliland, a territory of more than 3 million people in the Horn of Africa, seceded from Somalia more than three decades ago, but it hadn't internationally been recognized as an independent state by any country.

Israel becomes first country to recognize Somaliland

Some of the stabbed victims remain in serious condition. A 38-year-old man was arrested for alleged attempted murder at the factory, authorities said.

Mishima

At least 15 injured in chemical attack, stabbing at Japan factory

Israeli President Isaac Herzog said he was shocked by the "horrific killing spree" and pledged Israel would reinforce its security.

Jerusalem

Palestinian man kills two in car, knife attack in northern Israel

Munitions factories are expected to expand capacity and build new plants as the regime in Pyongyang intensifies weapons development and furthers its ties with Russia.

Pyongyang

Kim Jong-un orders North Korea to boost missile production in 2026

The United States launched airstrikes on Islamic State targets in Nigeria's Sokoto State on Thursday. Nigerian authorities denied Trump's claim of mass killings of Christians amid mixed reactions to the U.S. intervention.

Abuja

Nigeria confirms cooperation with U.S. strikes on IS targets

Ukraine's President Volodymyr Zelenskiy said on Friday (December 26) he planned to meet with U.S. President Donald Trump soon and that a lot could be decided before the New Year as Washington pushes diplomatic efforts to end the war with Russia.

Zelenskiy: 'A lot' can be decided before New Year ahead of Trump talk

The United States carried out airstrikes against ISIS militants in northwest Nigeria at the request of Nigeria's government, U.S. President Donald Trump and the U.S. military said on Thursday, claiming the group had been targeting Christians in the region.

U.S. launches 'deadly' airstrikes in Nigeria targeting ISIS: Trump

Official results show Asfura edged out his main rival Salvador Nasralla by less than one percentage point. Marred by delays and fraud claims, the Honduran election continues Latin America's shift to the right.

Tegucigalpa

Honduras: Trump ally Nasry Asfura wins disputed presidency

Several people were killed in Southern California when severe storms with heavy rain caused mudslides and flooding, which was made worse in areas affected by wildfires in January.

Breakdown