News and market highlights

Democrats flipped both the House and Senate in Tuesday's midterm elections, taking full control of Congress for the first time since 2022, according to NBC News. The shift in congressional power sets up a new era of oversight for President Trump's Cabinet, with Democratic-led committees poised to scrutinize senior officials when the new Congress convenes.

Defense Secretary Pete Hegseth has faced mounting pressure since NPR reported the White House had begun searching for a replacement, following a string of controversies including reports that he shared strike details over Signal on his personal phone. Republicans' midterm losses handed Democrats control of the House, putting Hegseth at the center of a new wave of scrutiny as the incoming majority takes the gavel on key oversight committees.

President Trump said Friday he told new White House press secretary Katie Zacharia to ‘reconsider’ the role amid scrutiny over her debut, telling her ‘if I were you, I’d reconsider,’ according to Fox News. Zacharia’s first briefing Tuesday lasted just 14 minutes and drew criticism over her performance and legal credentials, with White House officials privately questioning how long she would last, according to CNN.