Axios

Iran is using space to land big blows against U.S. forces in the Middle East.

Why it matters: Despite the U.S. bombing Iran's key space-related facilities, the nation is still seen as an "emerging" space power, according to a Pentagon intel report.

It's a de facto motto in the Trump White House: "Somebody's gotta take the fall." Lately, that person looks like Secretary of Defense Pete Hegseth.

Why it matters: From the unpopular war in Iran to his bad bipartisan relations with members of Congress, Hegseth's record has made him the most vulnerable member of Trump's Cabinet after Tuesday night's midterm shellacking.

President Trump has conceded that the Iran war cost Republicans dearly in the midterms. Now he must decide whether to cut his losses and reach a deal — or double down and go back to bombing.

Why it matters: All of Trump's options are problematic:

The first is to strike. But going back to war would be highly unpopular — keeping gas prices high and probably not yielding a better military result.

Another is to negotiate. But if Iranian officals refuse to make concessions — or, sensing weakness after the president's political loss, up their demands — Trump will have a hard time reaching a deal.

Oil prices fell sharply Wednesday as traders weigh signs — including a widely circulated post by Vice President JD Vance — that the midterm election will add pressure on the White House to find an offramp from the Iran conflict.

Why it matters: Elections have consequences.

World leaders are reacting to Democrats' comprehensive midterm wins, which saw them retake the Senate and flip the House on Tuesday night.

Why it matters: The results could reshape President Trump's final two years in office, with major implications for U.S. relations with allies and adversaries alike.

Latino voters helped Democrats break Republicans' decades-long grip on Texas and reclaim both chambers of Congress on Tuesday, casting doubt on President Trump's historic 2024 gains with the fast-growing electorate.

Why it matters: Republicans bet Trump's Latino breakthrough two years ago would create a lasting GOP realignment in Texas and beyond. Tuesday's results exposed how quickly those gains could unravel — and raised new questions about Republicans' coalition heading into 2028.

On a historic election night, winners nationwide have broken longstanding barriers, including firsts for race and sexuality.

The big picture: The results mark major milestones for representation in American politics as the nation's political landscape continues to evolve.

Democrat Xavier Becerra beat Republican Steve Hilton handily in the California governor's race on Tuesday, becoming the state's first Latino governor in more than 150 years.

• Becerra was expected to win the state where 45% of voters are registered Democrats and 25% are Republicans.

State of play: Becerra was largely out of the public eye after narrowly defeating businessman Tom Steyer in the June primary.

President Trump declared outer space open for exploration and development in a sudden election night proclamation.

Why it matters: The mostly symbolic edict doubles down on Trump's December 2025 mandate calling for Americans to return to the moon by 2028 and, eventually, land on Mars amid a heated space race with China.

Voters in Minneapolis and Houston are among those leaving "I Voted" stickers at memorials for people killed by federal immigration agents.

Why it matters: The tributes highlight how the Trump administration's unpopular immigration crackdown is motivating voters this election cycle.