President Joe Biden's approval rating has sunk close the lowest level of his presidency after the Supreme Court killed his $400-billion student-loan forgiveness plan, the new IBD/TIPP Poll finds.
The July IBD/TIPP Poll shows 38% of Americans age 18 and up approve of how Biden is handling the presidency, and 51% disapprove. Biden's net-approval rating of -13 points continued its slide from -11 points in June (40% approval, 51% disapproval) in June and -6 points in May (43%-49%). In March and April.
Biden Approval Rating Details
The slippage in Biden's approval rating comes amid weaker support among members of his own party. July's IBD/TIPP Poll showed 69% of Democrats now give Biden positive marks, while 19% disapprove of his job performance. That's down from 71%-20% in June, 74%-17% in May, 76%-16% in April and 83%-10% in March.
Biden's weak standing among independents got a bit of relief. Now 56% of independents pan Biden's job performance and 29% approve, vs. 60% disapproval and 29% approval in June and 63%-27% in May.
However, Republican disapproval of Biden deepened. GOP voters now disapprove of Biden 7%-89% vs. 10%-86% and 12%-85% the prior two months.
Biden's approval rating slipped deeper underwater among persons earning less than $75,000, with 36% approval and 52% disapproval. That's down from 38%-53% in June and 40%-50% in May. Yet the big difference has come in diminished support among those earning at least $75,000, who now disapprove of Biden by a 43%-47% margin. In June, the higher-income group approved of Biden's job performance, 47.5%-46%, narrowing from 54%-42% in May and 59%-35% in April.
June Jobs Report: Hiring Slows But Wage Growth Is Hot
Biden's Approval Sags Among College Grads
Biden's approval among college grads slipped to 48%-42% in July from 52%-40% in June and 55%-37% in May.
The Supreme Court struck down Biden's loan forgiveness program on June 30. On top of that, the debt-ceiling deal in early June formalized an end to the moratorium on most student-loan payments that's been in place since April 2020.
After the Supreme Court ruling, Biden announced new plans to forgive student loans and reduce monthly payments. While those plans may not take effect for a year or more, officials said they will immediately raise the level of income borrowers must earn before being liable for student loan payments to about $33,000 per year. That could save many borrowers $1,000 per year in annual payments.
Biden's job approval among adults age 18-44 was underwater for a second straight month in the July IBD/TIPP Poll, with 42% approval and 43% disapproval. That improved on June's 41%-46% split. But Biden's has bled support among the age group, which approved of his job performance by a 48%-42% margin in May.
Biden's support among young adults saw a one-month surge in the September 2022 IBD/TIPP Poll after he announced his decision to forgive up to $20,000 in college loans. That month, approval among Americans age 18-44 shot up to 51%-40% from 40%-51%.
Among adults 45 and up, Biden's approval grinded lower to 34%-58% from 39%-55% in June and 39%-54% in May.
Approval Of President Biden's Policies
Americans disapprove of Biden's economic policies 51%-29%, little changed from 50%-28% in June, though a deterioration from May, when 47% disapproved and 30% supported Biden's policies.
Inflation is undoubtedly a major source of Biden's poor economic reviews. U.S. employers added more than 13.2 million jobs in the first 29 months of Biden's presidency, Labor Department data shows. Meanwhile, the average hourly wage has grown a solid 4.4% over the past year. Yet inflation has eaten away all of that increase and more for many Americans.
The IBD/TIPP Poll finds that just 20% of adults say their wages have kept pace with inflation, while 55% say they haven't kept up.
Investors Back Biden — Barely
Biden's approval among investors improved to 49%-45% from 49%-47% in June. That's still a big step down from 59%-36% in May and 60%-37% in April. IBD/TIPP counts as investors those respondents who say they have at least $10,000 in household-owned mutual funds or equities.
The stock market has staged a dramatic rally, fueled by artificial intelligence stocks. Through Friday, the Dow Jones was down 8.3% from its all-time closing high in January 2022, but up 17.4% from its bear market closing low on Sept. 30. The S&P 500 has rallied 23% from its Oct. 12 closing low, but remains 8.3% below its peak. The Nasdaq composite has climbed 33.8% from its 52-week low on Dec. 28, but is still 14.9% off its November 2021 high.
Since Election Day on Nov. 3, 2020, the Dow is up 22.8%, the S&P 500 30.6%, and the Nasdaq 22.4%.
Be sure to read IBD's The Big Picture column after each trading day to get the latest on the prevailing stock market trend and what it means for your trading decisions.
The president's big problem is among non-investors, who now disapprove of Biden's job performance by a 54%-32% margin vs. 53%-36% in June, 55%-36% in May and 50%-36% in April.
The July IBD/TIPP Poll reflects online surveys of 1,341 adults from July 5-7. The results come with a credibility interval of +/- 2.7 points.
Presidential Leadership Index
The IBD/TIPP Presidential Leadership Index fell 2 points to 41.6, the lowest reading since last August. Readings above 50 are net positive, while below-50 readings are negative. The Presidential Leadership Index combines survey readings on how American adults feel about Biden's personal qualities, presidential performance, and leadership attributes. Biden's favorability slid to 2.6 points to 42.3, matching the lowest level of his presidency. Biden's job approval fell to 1.6 points to 42.5, while the leadership index declined 2 points to 39.9.
Please follow Jed Graham on Twitter @IBD_JGraham for coverage of economic policy and financial markets.
