Non-oil private sector activity decelerates further in September

Good afternoon, friends. Welcome to the start of a new workweek, and congratulations on it being a short one.

THE BIG STORY TODAY-

Egypt’s non-oil private sector activity slipped further in September, as new orders dipped at the quickest pace in five months, according to S&P Global’s latest Purchasing Managers Index report (pdf). The country’s headline figure fell 0.4 percentage points in September to 48.8, decelerating from August’s 49.2 to a three-month low.

The country has been below the 50.0 threshold that separates growth from contraction for seven straight months and has only pushed up into the green two times since November 2020. Despite the dip, the reading is still above the survey’s historical average of 48.2 since it began in 2011.

** We will have the full rundown of the report in tomorrow morning’s EnterpriseAM, with insight from the analysts and economists we trust the most.

THE BIG STORY ABROAD-

No single story is dominating today’s headlines, but few are getting top billing:

Trump deploys National Guard into Portland, judge says not so fast: US federal judge Karin Immergut issued a — temporary — restraining order blocking the Trump administration from deploying the National Guard into what the US president called a “war-ravaged city.” The order expires on 18 October, with an extension already requested by the state. The news follows a series of crackdowns on blue cities which Trump claims are breeding grounds for crime and disorder. (CNN | AP | Reuters)

MEANWHILE- Earlier today, Syria held its first-ever parliamentary elections since the fall of Bashar Al Assad 10 months ago. While the elections have been hailed as a step toward democracy, the indirect vote — cast by some 6k regional electors — will only determine two-thirds of the 210 representatives, with the rest directly appointed by interim President Ahmed Al Sharaa. The elected parliament will serve a two-and-a-half-year term, with Syria’s first direct elections taking place towards its end. (CNN | BBC | New York Times | Reuters)

CLOSER TO HOME- Israeli strikes overnight and on Sunday have destroyed several residential buildings in Gaza, Reuters reports. The escalated offensive comes as Egypt plans to host delegations from both Israel and Hamas in Cairo tomorrow in an effort to reach a ceasefire agreement.

*** It’s Inside Industry day — your weekly Sunday briefing on all things industrial in Egypt. Inside Industry explores what it takes to turn Egypt into a manufacturing and export powerhouse, ranging from initial investment and planning through to product distribution, land allocation, industrial processes, supply chain management, labor, automation and technology, inputs and exports, and regulation and policy.

☀️ TOMORROW’S WEATHER- We’re in for a moderately warm day, with the mercury set to peak at just 30°C before cooling down to a breezy 18°C, according to our favorite weather app.