News Summary

• Financial and fiscal fault lines may imperil economic progress and threaten future prosperity.
• The tide may turn on the artificial intelligence (AI) boom and persistent inflation from more frequent supply shocks.
• Public policy must focus on three priorities: securing price stability, restocking the public purse and shoring up financial stability beyond the banking perimeter.
• The Bank for International Settlements’ Annual Economic Report ( bit.ly/4vBlzcW ) highlights four pressure points for the global economy: resurgent inflation, AI exuberance and financial vulnerabilities.