Live updates: Hegseth faces new Signal scandal; White House 'setting the stage' for China trade deal

White House press secretary Karoline Leavitt briefed reporters Tuesday afternoon after Defense Secretary Pete Hegseth went on "Fox & Friends" to defend himself amid a new Signal chat scandal.

The New York Times on Sunday reported the Pentagon chief shared information in a Signal group chat with family members and his personal lawyer, just weeks after news that he shared sensitive military information with other administration officials on the commercial messaging app.

In the latest scandal, the Defense chief reportedly shared attack plans in a Signal chat that included his wife, brother and lawyer, along with others involved in Hegseth’s personal and professional life. 

“Disgruntled former employees are peddling things to try to save their a‑‑, and ultimately, that is not going to work,” Hegseth told Brian Kilmeade on Fox News.

The latest Hegseth heartburn comes amid more bad news on the economic front.

The International Monetary Fund (IMF) downgraded its projection for global gross domestic product growth to 2.8 percent growth in 2025, down from a forecast of 3.3 percent in January.

U.S. growth projections were marked down to 1.8-percent growth from 2.7-percent growth, and expectations for the output of advanced economies were pulled down to 1.4 percent from 1.9 percent.

The markdown reflects “tariff rates to levels not seen in a century and a highly unpredictable environment,” IMF economists said.

Leavitt told reporters on Tuesday that the president is "setting the stage for a deal with China" amid this outlook after hitting the country with a 145 percent tariff.

“So we feel everyone involved wants to see a trade deal happen, and the ball is moving in the right direction," she added.

Later on Tuesday, President Trump is slated to swear in the new chair of the Securities and Exchange Commission. The ceremony is scheduled for 4 p.m. local time.

Follow along for live updates below.