Defense Secretary Pete Hegseth has ordered the military to prepare plans to make drastic budget cuts over the next five years, with an exception for border security, according to a new memo obtained by CNN.

U.S. defense stocks opened in the red on Thursday, Feb. 20 following reports that President Donald Trump’s administration has ordered the Pentagon to lower its budget by 8% annually over the next five years.

The Senate is debating a fiscal blueprint that would pave the way for part of President Trump’s domestic policy agenda, while the House is on a separate track.

House Republicans propose significant Medicaid cuts in their new budget resolution, sparking concerns even among GOP members.

President Donald Trump’s endorsement of the House budget resolution as his preferred path to pass an extension of his 2017 tax cuts, border security funding and other parts of his agenda would likely require deep cuts to Medicaid,