Pete Hegseth continues to serve as Secretary of Defense amid active congressional oversight and operational demands, including recent testimony before House and Senate panels on the fiscal 2027 Pentagon budget and management of the Iran ceasefire. Joint briefings with Joint Chiefs Chair Gen. Dan Caine in early May emphasized sustained enforcement of the truce despite Strait of Hormuz incidents, with no public indications of resignation, presidential replacement plans, or confirmation proceedings for a successor. Internal Pentagon adjustments, such as senior officer reassignments, have drawn legislative scrutiny but have not altered his institutional role or prompted Senate action. Traders appear to weigh these ongoing responsibilities and absence of removal triggers against historical patterns for cabinet tenure in the current administration, supporting a consensus that he remains in office through December 31.