BERKELEY HEIGHTS, N.J. — President Donald Trump said Sunday the economy is “doing very well” and dismissed concerns of recession, offering an optimistic outlook after last week's steep drop in the financial markets.

“I don't think we're having a recession,” Trump told reporters as he returned to Washington from his New Jersey golf club. “We're doing tremendously well. Our consumers are rich. I gave a tremendous tax cut and they're loaded up with money.”

Larry Kudlow, Trump's top economic adviser, also played down fears of a looming recession and predicted the economy will perform well in the second half of 2019. In Sunday television interviews, he said that consumers are seeing higher wages and are able to spend and save more.

“No, I don't see a recession,” Kudlow said. “We're doing pretty darn well in my judgment.”

A strong economy is key to Trump's re-election prospects. Consumer confidence has dropped 6.4 percent since July. The president has spent most of the week in New Jersey with much of his tweeting focused on the economy.

Kudlow acknowledged a slowing energy sector, but said low interest rates will help housing, construction and auto sales.

Kudlow also defended the president's use of tariffs on goods coming from China. Before he joined the administration, Kudlow was known for opposing tariffs and promoting free trade during his career as an economic analyst. Kudlow said Trump has taught him and others that the “China story has to be changed and reformed.”