Stress drives the hippocampus to prioritize statistical prediction over episodic encoding.

The hippocampus plays a critical role in encoding individual experiences into episodic memory, while also detecting patterns shared across these experiences that allow us to anticipate future events via statistical learning. Acute stress is known to impact the hippocampus but may have opposite effects on these competing functions. That is, although stress impairs episodic encoding, it may have different effects on statistical learning. Using functional magnetic resonance imaging, we tested how stress influences the hippocampal pathways and subfields that support episodic encoding and statistical learning while participants performed a task that engaged both processes. Across several analyses, stress biased hippocampal processing in favour of statistical learning, suppressing pattern separation between events in the dentate gyrus and enhancing the representation of statistically predictive features. Furthermore, stress drove the hippocampal monosynaptic pathway to support statistical learning rather than episodic encoding during predictive situations. Together, these data suggest that acute stress elicits targeted, adaptive changes in hippocampal pathways which may facilitate predicting and responding to upcoming events. This article is part of the theme issue 'The role of hippocampal predictions in cognition: bridging perception and memory'.