As of writing of this paper, over 94 million people worldwide have been diagnosed with COVID-19 infection and over 2 million people have died. During crisis situations, people seek news to gain information and reduce uncertainty. Although news could provide some means of control, the constant access may also cause emotional distress. Research suggests that consumption of crisis news leads to high psychological distress and fear that may impact intentions to engage in healthy behavior. Fake news and widespread misinformation during this pandemic have obliterated public trust in news which can also affect mental health. Therefore, in this research we explore the impact of news exposure on mental well-being and test for plausible explanations. Utilizing survey methodology, we examine the role of news exposure on perceived stress, happiness, satisfaction, gratitude and the moderating impact of interest in COVID-19 news on the same. In addition, we propose trust in news as a mediator of the relationship between news exposure and abovementioned variables. The findings suggest that high levels of news exposure, combined with low levels of interest in COVID-19 news, led people to experience more stress and low satisfaction, gratitude, and happiness. However, when interest in COVID-19 news was high, people experienced more gratitude and happiness with increasing exposure. High levels of news exposure led to lower levels of trust that led to low satisfaction and happiness. Theoretical and practical implications of the study are discussed.