Yes — news trading is allowed in both the Evaluation and Funded stages.
There are no specific restrictions around high-impact news events. You are free to trade during releases if that fits your strategy.
That said, news events come with increased volatility and fast price movements. Slippage, spreads, and sudden swings can impact execution and risk management.
Execute is structured around consistency. Even if you trade news, your performance must still respect all risk parameters and the consistency rule.
Trade it if you understand it — just manage the risk accordingly.