Nepal-Tibet flood death toll passes 1,000 + global bond sell-off deepens

Good afternoon, friends, and happy hump day. Consider this your friendly reminder to hydrate — because if you’re not drinking enough water, the AI data centers certainly will. In today’s issue, we’re taking a closer look at how AI data centers operate, how much water they waste, and what that means for our region. In a less grim undertaking, we try out an Egyptian restaurant that serves up a mean hawawshi and then some. Plus, all the footie that should be on your radar tonight.

But first, the news…

THE BIG STORY ABROAD-

🌐 In the absence of any substantial updates on the US-Iran front, several stories are getting plenty of ink. Still leading the front pages are the latest developments from the Nepal-China floods as the death toll surpasses 1k and more than 4k remain missing in both countries, including the workers trapped in hydropower tunnels. Authorities are burying unidentified victims in a mass grave as desperate rescue efforts continue.

^^Read more on: BBC, The Guardian, and CNN.

IN THE BUSINESS PRESS- Also getting top billing across the business spreads is a deepening global bond sell-off, sparked by Japan’s benchmark 10-year bond yield hitting 3% for the first time since 1996. US 10-year Treasury notes also rose to a 20-month high of 4.78%. The sell-off comes as expectations grow that central banks will raise interest rates amid rising inflation fears, fueled by the Middle East conflict pushing oil prices higher.

^^Read more on: Bloomberg, CNBC, Reuters, and Financial Times.

ALSO- Shein’s shares fell as much as 10% in early trading following the fast-fashion giant’s long-awaited Hong Kong IPO debut. The stock later recovered to finish nearly flat and just below its offer price, valuing the company at USD 26.2 bn — far below its peak valuation of USD 100 bn in 2022.

^^Read more on: Bloomberg, BBC, and Financial Times.

IN OTHER NEWS- US Army Secretary Dan Driscoll resigned following reported friction with Defense Secretary Pete Hegseth. In the Defense Department’s latest high-profile departure under Hegseth, Driscoll cited the secretary’s sweeping purge of senior personnel and growing turmoil within the department.

^^Read more on: Bloomberg, The Guardian, and Financial Times.

AND- As the anniversary of US rapper Tupac Shakur’s death nears, former gang leader Duane “Keffe D” Davis’ guilty verdict is making headlines, bringing the 30-year-old case to a close. Davis was convicted of orchestrating the murder but did not pull the trigger — prosecutors alleged that his nephew Orlando Anderson was the gunman.

^^Read more on: BBC and The Guardian.

The EnterpriseAM Egypt Forum is back — and we’re devoting the full day to the singular set of questions on everyone’s mind: What does AI actually mean for your company, your people, your economy, your own job — and your kids’ future?

Every session on stage answers one question: “So, what do I actually do about it?”

Join us on 5 October in Cairo. Seats are limited, and attendance is by invitation only.

Request your invitation here.

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• US Treasury Secretary Scott Bessent expects Washington’s financial policy arm to keep adding names to its Iran sanctions list at a pace of roughly one round a week, and banks are where the campaign begins. This comes days after the Treasury Department’s Financial Crimes Enforcement Network moved to strip correspondent banking access from Banque Misr’s UAE outpost;
• Red Sea tourism operators expect winter arrivals to rise around 20% y-o-y this season — but most aren’t changing their rates. Some 90% of hotels across Marsa Alam, Hurghada, and Sharm El Sheikh plan to hold room prices flat this winter, absorbing a year of higher energy and utility costs rather than passing them on. Major branded chains with steady year-round demand and standing tour operator contracts expect to raise prices around 10%;
• The EGX rewrote some of the rules governing unlisted securities — traded through its automated order-acceptance system, or over-the-counter (OTC) market — giving its chairman more discretion over when suspended shares can return to the automated order-acceptance system. Under the amendments, a company that amends its registered issuance data (a capital hike, capital reduction, or share split, for instance) no longer has an explicit route to request reinstatement once trading is halted;
• Egypt is now weighing a roughly six-week repair by state-owned Petrojet for its damaged Damietta FSRU, according to media reports, alongside a previously reported option of sending the vessel to Turkey for a roughly one-month repair. The vessel still has roughly 70k cbm of LNG onboard, which must be offloaded at either Ain Sokhna or Damietta before repairs can begin. The government is also weighing bringing in a second floating storage unit to guard against the same supply risks.

☀️ TOMORROW’S WEATHER- It’s looking like another warm day in the capital, with a high of 36°C and a breezy low of 25°C, according to our favorite weather app.