Fed Governor Waller said hyperscale cloud providers told him they still plan to spend several trillion dollars over the next three years.

Fed's Hammack said the Fed currently faces the question of how quickly to tighten monetary policy.

Citigroup projects the Gulf region will contract 3.1% in 2026 as regional conflict disrupts oil production and weighs on non-oil activity. It forecasts oil-sector output to fall 13.7% and non-oil growth to slow to 1.0% from 5.1% in 2025. Impact will vary across six Gulf economies depending on access to alternative export routes and the severity of trade and tourism disruption. The forecast assumes shipping through the Strait of Hormuz normalises in Q4; continued disruption would pose additional downside risk.