US Stocks Head for Best Quarter in Six Years | The Pulse 6/30/2026

Summary

From the ECB's Sintra forum, Francine Lacqua speaks with leading economists and policymakers. Torsten Slok sees higher-for-longer rates and an AI boom driving U.S. growth but warns of valuation risks. Jim O'Neil is bullish on UK gilts due to Burnham's credible policy platform. Tobias Adrian flags fiscal fragility and cyber risks, while Beata Javorcik highlights Europe's energy price disadvantage and the need for faster structural reforms.

• U.S. stocks are on track for the best quarter in six years, shrugging off Middle East tensions.
• ECB's Christine Lagarde says the euro area has become more resilient to shocks.
• Apollo's Torsten Slok expects the ECB could hike in September and rates to remain higher for longer.
• Jim O'Neil, advisor to UK's likely next PM Andy Burnham, believes devolution and transparent infrastructure spending will boost gilts and the economy.
• IMF's Tobias Adrian warns that AI-driven cyberattacks and fiscal fragility pose financial stability risks.
• EBRD's Beata Javorcik notes that high European natural gas prices are hurting energy-intensive industries and data center competitiveness.
• Central bank governors emphasize data-dependence and not locking into a rate path.