Alec Holdings to take 20% stake to market in October + Mubadala wraps du follow-on sale

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WHAT WE’RE TRACKING TODAY

THIS MORNING: Emirates Islamic lines up green sukuk + Emirates Airlines to sponsor Real Madrid basketball team

Good morning, lovely people. As we pass the halfway mark of September, plenty of activity on the capital markets side is keeping us busy, with Dubai set to see its first IPO in months next month and another secondary sale in the bag.

Alec Construction is taking a 20% stake to the DFM in October, while Mubadala raised AED 3.2 bn from its follow-on offering for Du. Meanwhile, Al Futtaim Group finalized its acquisition of a minority stake in Saudi Arabia’s Cenomi Retail.

On the investments side, Sharjah’s FDI investments were up over 300% y-o-y in 1H 2025, while Space42 is entering a joint venture with the US’ Viasat to roll out global direct-to-device services.

WEATHER- More of the same: Temperatures are set to peak at 37°C in Dubai today, with a low of 30°C, according to our favorite weather app. Meanwhile, in Abu Dhabi, the mercury peaks at 39°C, with a low of 29°C.

WATCH THIS SPACE-

#1- EIB lines up green sukuk: Emirates Islamic Bank tapped banks to arrange investor calls ahead of a planned USD-denominated, five-year benchmark sustainability-linked sukuk, Zawya reports. The Reg S-compliant senior unsecured paper — with a Wakala/Murabaha structure — falls under the lender’s USD 4 bn certificate program. The notes will be listed on Nasdaq Dubai and Euronext. The bank has a credit rating of A+ with a stable outlook from Fitch.

Background: The lender — which just recently was delisted from the DFM — last issued debt in March, raising USD 750 mn. The five-year Reg S sukuk offering, also issued under its USD 4 bn program, was 2.1x oversubscribed. The notes, listed on Nasdaq Dubai and Euronext, were priced at 5.059% coupon, 95 bps over Treasuries, after tightening by 30 bps from initial price thoughts on strong demand.

ADVISORS- Our friends at Mashreq are joint leads and bookrunners alongside Bank ABC, Citi, Dubai Islamic Bank, Emirates NBD Capital, and Standard Chartered. Emirates NBD Capital and Standard Chartered are also acting as joint sustainability structurers.

#2- Emirates becomes Real Madrid’s official basketball sponsor: Emirates Airlines and Spanish basketball club Real Madrid inked a multi-year partnership making Emirates the official sponsor of the club’s men’s and women’s teams, according to the Dubai Media Office. The team’s jerseys will feature Emirates’ “Fly Better” branding — matching those worn by the men and women’s football teams, which Emirates also sponsors — which will also feature at various sporting events. The partnership marks the airline’s entry into the European basketball arena.

The airline already sponsors several teams and tournaments: It became the US’ NBA’s first title partner of the NBA Cup, and earned the first-ever referee jersey patch partner of the NBA last year. It also sponsors UK-based football club Arsenal and Beirut’s Basketball Club.

#3- Abu Dhabi test drives autonomous delivery vehicles: Abu Dhabi Mobility, in collaboration with K2 and Emirates Post 7X’s logistics arm EMX, has launched Abu Dhabi’s first pilot program for autonomous delivery vehicles, according to a statement. The trial operations for the vehicles — developed by K2 subsidiary Autogo — were executed in Masdar City. The firm also issued the nation’s first official license plate for a self-driving delivery vehicle — aligning with the emirate’s goal to shift 25% of all trips to smart transport solutions by 2040.

Abu Dhabi is taking big steps towards autonomous driving: Abu Dhabi-based drone manufacturer Lodd Autonomous is set to launch unmanned aerial vehicle parcel and cargo deliveries by 2H 2026 — with the first test flight scheduled in November. Abu Dhabi Mobility also recently expanded its autonomous taxi services to include Al Reem and Al Maryah islands back in July. Autonomous taxis are already operational in Al Saadiyat and Yas islands, as well as routes to Zayed International Airport.

#4- Lootah Biofuels has begun supplying Sustainable Aviation Fuel (SAF) in the UAE market, and plans to unveil its three-phase roadmap for deployment at the upcoming Dubai Airshow later this year, Gulf News reports. The company completed engineering studies for a dedicated SAF production plant in the UAE, with plans to import SAF in the short term and transition to full local production over time.

The fuel is produced from used cooking oil and waste-derived fats, and can reduce greenhouse gas emissions by up to 80% compared to conventional jet fuel.

Not its only SAF venture: Lootah also signed an agreement with Malaysian counterpart FatHopes Energy to study the feasibility of establishing a 200k sqm SAF feedstock aggregation storage terminal in Malaysia in 2023.

#5- Majid Al Futtaim rebrands Carrefour in Bahrain: UAE retail conglomerate Majid Al Futtaim launched its own grocery chain — HyperMax — in Bahrain after it shut down Carrefour operations in the country on 14 September, according to a statement. The new brand opens with six outlets and some 1.6k staff, and is partnering with over 250 local farmers and suppliers.

The rollout follows similar exits in Oman earlier this year and Jordan in late 2024, where Carrefour stores were rebranded as HyperMax amid pressure over the chain’s perceived stance on the Gaza conflict. The conglomerate owned and operated Carrefour Bahrain, and still holds the rights to operate the brand in 12 markets across the Middle East, Africa, and Asia.

#6- Rakez + India launch start-up initiative: Ras Al Khaimah Economic Zones (Rakez) and the UAE-India Cepa Council inked an MoU to launch the UAE-India Startup Series, helping Indian startups enter the Emirati market, according to a press release. The initiative will select 20 startups to participate in an event in New Delhi. Of those, five will receive incubation support to help them enter the UAE market, with Rakez set to provide full backing via a comprehensive package to one of the five. So far, 10k Indian startups have applied to the initiative.

HAPPENING TODAY-

#1- The Abu Dhabi Chamber of Commerce and Industry is leading a delegation to Germany, with the roadshow kicking off yesterday and running through Thursday, 18 September, according to a statement. The visit focuses on strengthening economic ties, with agreements expected in renewable energy, technology, financial services, logistics, and SME development.

The delegation includes representatives from Abu Dhabi Investment Office, Hub71, Emirates Nuclear Energy Corporation, and private-sector firms, with family business cooperation also high on the agenda, state news agency Wam reports.

#2- The Ajman Department of Tourism Development’s roadshow in India kicked off yesterday and will run until Friday, 19 September with stops in New Delhi, Pune, and Kolkata, state news agency Wam reports. The initiative will showcase Ajman’s tourism projects and attractions while deepening ties with Indian operators and industry partners. The roadshow aims to raise Ajman’s international profile, grow visitors numbers, and attract new investment into the emirate’s tourism sector through meetings, events, and potential agreements with Indian stakeholders.

#3- The US Federal Reserve is kicking off its Federal Open Market Committee meeting today, setting the stage for what’s set to be the first rate cut in months tomorrow. Gulf central banks — including the Central Bank of the UAE — are expected to follow suit, given the peg to the USD. We have more on what to expect from this week’s meeting, and from other central banks across the globe this week, in this morning’s Planet Finance, below.

HAPPENING THIS WEEK-

Mohammed Bin Rashid Space Center will host MBRSC Space Science Connect on Wednesday and Thursday at the center’s headquarters in Dubai, according to the Dubai Media Office. The two-day event will gather leading scientists and engineers with the goal of fostering space innovation, collaboration, and scientific research in the UAE space industry.

THE BIG STORY ABROAD-

International headlines are locked on US President Donald Trump’s visit to the UK this week, where Washington and London are set to roll out over USD 10 bn in economic agreements covering science and technology, civil nuclear power, and defense tech. The package — which officials say will deepen financial and innovation ties — will be unveiled during an event with UK Prime Minister Keir Starmer and Chancellor Rachel Reeves. (Reuters | Bloomberg | CNN | BBC | The Guardian | Associated Press | New York Times)

CLOSER TO HOME- Qatar’s emir has urged Arab and Muslim leaders to take “concrete steps” against Israel after last week’s missile strikes in Doha that targeted Hamas leadership, writes the Financial Times. In his speech during yesterday’s emergency Arab-Islamic summit, Sheikh Tamim bin Hamad Al Thani denounced the attack as “blatant, treacherous and cowardly” and accused Israel of waging a “genocidal war” on Palestinians.

The UAE’s take: A UAE delegation including Vice President Mansour bin Zayed Al Nahyan, Foreign Minister Abdullah bin Zayed Al Nahyan, and State Minister Shakhbout bin Nahyan Al Nahyan also attended the summit, publishing a strong-worded statement that called on the UN Security Council and the wider international community to take responsibility to “deter Israel and stop these barbaric aggressions,” Wam reported elsewhere. The UAE said the “aggression” and “blatant violation of international law,” along with “repeated threats of annexing Palestinian land and aggression against neighbouring states, undermines efforts to achieve lasting peace and regional stability.”

Israel’s Prime Minister Benjamin Netanyahu, meanwhile, did not exclude the possibility of further strikes supposedly targeting Hamas leaders, Reuters reports.

AND IN MARKET NEWS- Alphabet became the fourth US company to hit a market cap of USD 3 tn yesterday after shares hit a record USD 252 on the back of investor optimism following the company’s July results. (Financial Times | Reuters | CNBC | Bloomberg | Wall Street Journal)

ALSO WORTH NOTING THIS MORNING- A wave of Gen Z revolutions is reshaping Asian politics, as youthful protesters from Nepal to Bangladesh and Indonesia mobilize social media platforms to topple entrenched leaders, demand transparency, and challenge corrupt elites. (Financial Times)

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Alec Holdings is floating a 20% stake on DFM, marking Dubai’s first corporate listing in 2025

Alec pulls the trigger on Dubai’s first corporate IPO of the year: Dubai-based engineering and construction group Alec Holdings is taking a 20% stake public on the DFM through a Reg S-compliant secondary offering of 1 bn shares, according to an ITF document (pdf) and its prospectus (pdf). Sovereign wealth fund Investment Corporation of Dubai (ICD) — the firm’s sole owner and selling shareholder — will rake in the proceeds from the IPO.

IN CONTEXT- The ICD was said to be preparing a USD 500 mn IPO for Alec as part of Dubai’s 10-company privatization drive. Alec is set to become the seventh state-owned firm to list under the program, following names like Parkin, Dewa, Dubai Taxi, Salik, Tecom, and Empower.

Alec is the first to IPO following a quiet 1H: We were expecting the second half of the year to bring more IPO activity, with several analysts saying companies are waiting until after the summer lull to kick off their listings. Developers including Binghatti and Arabian Construction, classifieds platform Dubizzle, and a Dubai Investments unit are also preparing floats, as the emirate’s IPO pipeline swells alongside its property boom. Dubai’s first and only IPO this year was Dubai Residential REIT’s May listing.

Who can buy in: Some 94% of the shares on offer will be limited to institutional investors, with 5% open to retail buyers. Emirates Investment Authority (EIA) and the Pensions Fund for Local Military Personnel have preferential rights to 10% of the offer shares (5% each) which will be carved out of the institutional tranche. The third tranche of the IPO (1%) will be reserved for ICD employees.

The timeline: Subscriptions will be open from 23-30 September, with the final pricing set to be announced on Wednesday, 1 October. Final allocations will take place on Tuesday, 7 October, with Alec’s shares due to start trading the following Wednesday 15 October under the ticker ALEC.

A sweetener for investors: Alec plans to pay AED 200 mn in dividends in April 2026, followed by AED 500 mn payable in October 2026 and April 2027. From 2027 onward, it is targeting a minimum 50% payout of net income on a semi-annual basis.

A glimpse into the company: Founded in 1999 and owned by ICD since 2017, Alec is one of Dubai’s largest contractors, with operations spanning construction, fit-out, and MEP services. Its project portfolio includes Expo 2020 pavilions, Dubai Hills Mall, along with other high-profile infrastructure and real estate developments across the UAE and wider region. The group’s bottomline grew 84.5% y-o-y to AED 239 mn in 1H 2025, while its top line rose 56% to AED 5.4 bn over the same period, backed by an AED 35.4 bn backlog.

ADVISORS- Our friends at EFG Hermes are acting as joint bookrunners on the transaction alongside Abu Dhabi Commercial Bank. They’re joined by Emirates NBD Capital and JP Morgan as joint global coordinators and bookrunners, while Moelis is acting as independent financial adviser. Gibson, Dunn & Crutcher, and Ibrahim & Patterns are providing counsel. Emirates NBD is the lead receiving bank, alongside ADCB, ADIB, Al Maryah Community Bank, Commercial Bank of Dubai, Dubai Islamic Bank, Emirates Islamic, First Abu Dhabi Bank, Mashreq, and Wio Bank.

ALSO IN THE PIPELINE-

Emirates Global Aluminium (EGA) could be reviving plans for a potential IPO that could rank among the region’s largest;
ADQ-backed Etihad Airways highly-anticipated IPO was expected to kick off after Eid Al Fitr but could be delayed to 2026 ;
Abu Dhabi conglomerate International Holding Company’s investment arm 2PointZero is gearing up for an IPO on the ADX;
Dubai Holding plans to float two of its property portfolio units, and Sharjah-born Aradais also eyeing an IPO in three years’ time;
Abu Dhabi Investment Group (ADIG) is eyeing listings for its financial unit and energy subsidiary this year;
Hospitality group Five Holdings also tapped advisors for a potential listing;
Amanat Holdings is planning to list its education and healthcare units;
Shisha producer Advanced Inhalation Ritual is also rumored to potentially IPO.

Mubadala wraps AED 3.2 bn du follow-on offering

Du’s newly placed secondary shares are due to hit the DFM at the opening bell today, after Mubadala subsidiary Mamoura wrapped an AED 3.15 bn selldown priced at AED 9.20 apiece, according to a bourse disclosure (pdf).

The offering, which kicked off last week, was priced at the lower end of the AED 9-9.9 range du was guiding on despite closing “multiple times oversubscribed” with strong demand across retail, institutional and international investors. The final offer price implies a market cap of AED 41.7 bn at listing, according to our calculations. It’s also a 6.1% discount to its close on Friday.

REFRESHER- The sale saw Mubadala’s debt issuing arm and du’s only selling shareholder Mamoura float an additional 342.1 mn shares — good for a 7.6% stake — in the Dubai-based telco, around six months after news of Mubadala’s plans to pare down its stake in the company first surfaced. Before the transaction, Mubadala held a 10% interest in du via Mamoura.

The move brings du’s freefloat to 27.7%, paving the way for future MSCI and FTSE inclusion — potentially boosting liquidity and broadening the company’s international investor base. Du will not receive any proceeds from the sale.

This is the first fully-marketed secondary share offer in the UAE, according to the release. The roadshow-style transaction was marketed to both retail and institutional investors at home and abroad. Secondary sell-downs in the region are typically handled via accelerated bookbuilds targeted overnight to institutional buyers.

Emirati firms raised almost USD 4.75 bn from follow-on offerings so far this year, nearly tripling 2024 volumes and far outpacing IPO proceeds of just USD 905 mn. State-linked players are leading the charge as they seek to broaden their holdings’ investor bases, secure global index inclusion, and draw in global capital. September alone has seen a flurry of activity: Mubadala’s du selldown follows Adnoc’s secondary sales of stakes in its gas and logistics units earlier this year, and comes as AI firm G42 prepares an accelerated sale of about 2% of Presight AI.

ADVISORS- First Abu Dhabi Bank, Emirates NBD Capital, Goldman Sachs, and Abu Dhabi Commercial Bank are acting as joint lead managers, with Linklaters, Clifford Chance, White and Case, and Al Tamimi and Co providing counsel. Emirates NBD is the lead receiving bank, with Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Al Maryah Bank Community Bank, Dubai Islamic Bank, Emirates Islamic Bank, FAB, and Wio Bank also acting as receiving banks.

Market reax: Du’s shares were up 0.1%, trading at AED 9.81 per share at market close yesterday.

Al Futtaim is now a minority shareholder in KSA’s Cenomi Retail

Al Futtaim closes acquisition of minority stake in Cenomi…: Al Futtaim Group acquired a 49.95% stake in Cenomi Retail for SAR 2.5 bn (c. USD 667 mn), marking one of the largest foreign investments in a Saudi-listed retail company, according to a press release and Tadawul disclosure. The transaction was executed through a share purchase transaction from Cenomi’s major shareholders at SAR 44 per share, with Al Futtaim subject to a six-month lock-up period.

…and provides SAR 1.4 bn loan: Alongside the equity purchase, Al Futtaim has agreed to provide SAR 1.35 bn in shareholder loans, which can be converted into equity subject to shareholder and regulatory approvals. The facility will bolster Cenomi’s balance sheet and give it additional flexibility for expansion. The firm has struggled with losses that resulted in a negative shareholder equity of SAR 991 mn in 1Q 2025, as well as SAR 5.4 bn in liabilities.

ICYMI- Saudi Arabia’s General Authority for Competition cleared Al Futtaim’s acquisition of the minority stake Cenomi last month, after the two had entered into a share purchase agreement in July.

Also involved: Emirates NBD Saudi Arabia is extending an SAR 1.6 bn credit f acility to Cenomi Retail to prepay and settle existing bank debts. The loan is conditional on the completion of Al Futtaim’s acquisition. The facility includes a 90-day short-term loan, to be refinanced into a three-year term loan with a possible two-year extension.

Space42, US-based Viasat launch Equatys JV to roll out global direct-to-device services

Space42, Viasat to launch global D2D venture: ADX-listed space tech firm Space42 and US satellite operator Viasat will launch a joint venture — Equatys — to roll out global direct-to-device (D2D) mobile services, the firms said in a joint statement (pdf). The project aims to link satellite and terrestrial networks for standard smartphones and IoT devices.

Background: The move builds on an MoU the two companies signed in March to explore 5G D2D satellite services — laying the technical and commercial groundwork for open, standards-based infrastructure.

The model: Equatys will operate as a neutral “space tower” company, running shared multi-orbit satellite and ground systems under a 3GPP non-terrestrial-network release-compliant platform. The design is expected to handle more than 100 MHz of harmonized spectrum — meaning their frequencies are able to roam across different countries and regions.

What’s the benefit? Operators will be able to share infrastructure instead of building competing systems or making sizable individual investments, while governments will retain sovereign deployment options. Windows to snap up equity offerings in the project are set to come once it begins scaling up.

Local angle: The venture also leaves scope for regional space industries to participate in hardware manufacturing and technology development. The model is pitched as a way to cut capital costs, reduce duplication, and improve spectrum use.

Timeline: Commercial rollout is targeted within three years, with spectrum already allocated in more than 160 markets.

REMEMBER- Space42 has been broadening its portfolio:

In July, it launched its Map Africa initiative with Microsoft and Esri to chart all 54 African countries, and is now in talks with the African Union Development Agency and financial firms to raise funding;
Closer to home, it partnered with the Abu Dhabi Investment Office to set up Space42 Space Systems, a facility to design and test SAR satellites;
In February, it signed an MoU with Edge’s Fada to build the UAE’s first sovereign EO ecosystem. Partial satellite manufacturing is slated to begin in the UAE this year.

Plus, more D2D connectivity: In May, Space42’s Thuraya unit and Denmark’s Gatehouse Satcom completed pilot tests for Thuraya Direct, a D2D messaging and IoT service using standard smartphones. A commercial rollout is slated for 4Q 2025, with operator talks underway.

Sharjah records USD 1.5 bn in FDI in 1H 2025

Sharjah attracted USD 1.5 bn in foreign direct investment (FDI) in 1H 2025, a 361% y-o-y surge in value, according to a press release, citing an announcement by the Sharjah FDI Office. The emirate also recorded a 57.4% y-o-y increase in greenfield FDI projects to 74, generating 2.6k jobs.

This makes Sharjah the second biggest emirate in terms of FDI proceeds in 1H 2025: Dubai was the top emirate for FDI during the period, raking in USD 3 bn in capital out of the USD 5.4 bn the UAE netted. Meanwhile, Abu Dhabi raked in USD 595.8 mn across 42 projects, while Ras Al Khaimah brought in USD 188.6 mn from six projects.

Top-performing sectors: Consumer products topped the list of fastest-growing sectors, with the number of projects up 53% and investment value increasing 188%. Commercial services recorded the sharpest gains, with investment activity rising 500% and employment surging 1.1k%. Food and beverages recorded 112% growth in projects and 25% in jobs, while industrial equipment posted a 45% increase in capital spending and doubled its project count.

REMEMBER- The emirate attracted several sizable investments during 1H 2025. These projects include an AED 3.5 bn residential development by Kuwait Real Estate Company, a USD 346.6 mn polyethylene film recycling facility by Italy’s Greentheseis, a storage and distribution center by India’s Gxpress, and a gold jewelry manufacturing and retail unit by India’s Vinsmera.

Al Tamimi hires two new partners and Adnoc L&S tap interim CFO

Al Tamimi and Co. taps two new partners: Law firm Al Tamimi and Co. named two new partners, Anton Konnov (LinkedIn) and Igor Gorchakov (LinkedIn) — along with two associates — in line with its current strategic focus on banking, transactional M&A, and contentious offerings, according to a press release (pdf).

The new partners have multi-jurisdictional expertise, with Konnov bringing extensive experience in cross-border M&A transactions, corporate law, and regulatory advisory. He previously served as managing partner at A&O Shearman’s Moscow office. Gorchakov, a dual-qualified disputes expert with rights of audience before DIFC courts, has years of experience in international arbitration, cross-border litigation, and financial regulatory compliance.

The new hires follow a series of appointments over the past year, including new partners in Casablanca and for its tax practice.

Australia’s Future Fund Chief Investment Officer Ben Samild (LinkedIn) resigned to join the Abu Dhabi Investment Council (ADIC), Bloomberg reported, citing a source familiar with the matter. Samild is set to join as chief strategist, the sources said. Samild joined the Future Fund in 2013 and became CIO of the AUD 252 bn sovereign wealth fund in 2023.

About ADIC: Founded in 2007 and fully owned by Mubadala Investment Company, ADIC follows an endowment-style model with 39% of assets in public markets and 61% in private markets, according to its website. Its portfolio comprises 53% allocations to North America, 19% to Europe, and 28% to the rest of the world.

Adnoc L&S appoints new interim CFO: ADX-listed Adnoc Logistics and Services tapped Rahoof Khaleel Rahman (LinkedIn) as interim chief financial officer (CFO), following the resignation of former CFO Nicholas Gleeson (LinkedIn), which will be effective as of 30 September, according to an ADX disclosure (pdf). The disclosure cited personal commitments as the reason for the departure.

Rahman has been with Adnoc L&S for over 12 years, mostly recently serving as its vice president for finance. He has led M&A transactions totaling USD 2.5 bn and held senior leadership positions globally, including at KPMG, Ernst and Young, and BP.

ESG’s new real estate arm launches part two of AED 1.6 bn project

REAL ESTATE-

ESG’s Royal Development Holding rolls out phase two of AED 1.6 bn project: Emirates Stallions Group’s newly-launched development firm Royal Development Holding is launching the second phase of its AED 1.6 bn residential project in Al Reem Island in partnership with Emirati developer Saas Properties, according to a press release (pdf). Phase one of the Seamont Autograph Collection Residences was launched back in June.

About phase two: The waterfront project’s second phase will include waterfront units, including one- to three-bedroom apartments, duplexes, penthouses, and four-bedroom townhouses. Overall, the project will deliver a total 497 units and completion is slated for 4Q 2028. Its first phase sold out completely in July, Khaleej Times reported at the time.

LOGISTICS-

Adnoc integrates AI into petroleum port operations: Adnoc Logistics and Services is rolling out an AI-powered smart port solution across its petroleum ports in the UAE in a bid to enhance operational efficiency, state news agency Wam reports. The firm has reportedly rolled out the system at five of its key petroleum ports — Das, Zirku, Mubaraz, Ruwais, and Jebel Dhana.

What we know: Developed by port management information system Innovez One, the solution features real-time marine tracking, streamlines resource allocation, reduces vessel turnaround time from three hours to 45 seconds, and increases jetty utilization by 20%. The solution is also expected to save around AED 3.5 mn in operational costs by 2028.

Fed to deliver first cut of 2025 as global central banks line up policy moves

The Fed is expected to deliver its first rate cut in nine months tomorrow, with a 25 basis point reduction looking like the most likely scenario. A bigger 50 bps cut could be on the table as well amid signs that US job growth is slowing, Bloomberg reports. Futures also price further reductions in October and December, and deeper into 2026, as softening consumption and weaker job growth offset concerns about tariff-driven inflation.

Treasuries have dipped to their lowest in months ahead of the meeting, CNBC reports, with the 10-year yield at 4.06%, the 2-year at 3.55%, and the 30-year at 4.68%.

Everyone’s focus will now shift on the pace of cuts moving forward. Retail sales data due today and jobless claims on Thursday will help shape expectations for the pace of easing, especially as inflation still remains above the Fed’s target. The Fed’s dovish tone, coupled with US President Donald Trump’s pressure on the Fed to cut rates and the last-minute appointment of Trump adviser Stephen Miran as Fed governor in time for this week’s meeting, all support the case for a steady string of cuts in the near term.

Data-driven, but largely political: Bloomberg economists frame the move as primarily political, despite the hard data making a case for it in line with the Fed’s mandate, saying, “the markets expect a rate cut, the White House wants it — and we think Powell is doing what he sees as needed to fend off further threats to the Fed’s independence.”

Strategists warn the cut may cool risk appetite. The S&P 500 is up 12% this year on Big Tech and AI momentum, but Morgan Stanley and JPMorgan see scope for profit-taking, Bloomberg reports separately. “Near-term risk is centered on the tension between lagging, weak labor data, and the Fed’s response that may not meet the markets’ ‘need for speed’,” said Morgan Stanley’s Michael Wilson.

Others remain upbeat: Deutsche Bank and Barclays have raised their year-end S&P targets on the back of tech momentum and strong corporate earnings, while Oppenheimer’s John Stoltzfus expects any dip after the cut to be shallow if US fundamentals hold.

The Fed decision also kicks off a 36-hour run of central bank moves covering two-fifths of global GDP:

The Bank of Canada is expected to cut its policy rate by 25 bps to 2.5% after economic contraction in 2Q and weak jobs figures;
The Bank of England will likely hold steady at 4% following its August cut, though officials are expected to slow quantitative tightening;
Norway faces a close call between holding or cutting again, with inflation staying above 3% and making the case for postponing a cut;
The Bank of Japan is set to leave rates unchanged but looks likely to maintain a tightening bias as inflation remains elevated.

Elsewhere, others are holding steady. Brazil is expected to keep interest rates at 15%, while South Africa looks likely to keep its benchmark rate at 7% as inflation ticks higher and forecasts put Bank Indonesia as holding steady at 5% amid political uncertainty. Israel’s inflation may fall below target for the first time in more than a year, potentially opening the door to cuts later this month.

MARKETS THIS MORNING-

Asian markets are firmly in the green this morning amid signs that US-China talks in Spain are going well, with Japan’s Nikkei and Topix both notching fresh highs. Wall Street futures are mostly flat on news of Miran’s appointment as Fed governor, following a day in the green for S&P 500 and Nasdaq.

ADX	10,036	+0.2% (YTD: +6.6%)
DFM	6,041	+0.2% (YTD: +17.1%)
Nasdaq Dubai UAE20	4,853	+0.1% (YTD: +16.5%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	4.3% o/n	3.9% 1 yr
Tadawul	10,427	-0.1% (YTD: -13.4%)
EGX30	35,166	+0.2% (YTD: +18.2%)
S&P 500	6,615	+0.5% (YTD: +12.5%)
FTSE 100	9,277	-0.1% (YTD: +13.5%)
Euro Stoxx 50	5,440	+0.9% (YTD: +11.1%)
Brent crude	USD 67.52	+0.1%
Natural gas (Nymex)	USD 3.01	-1.0%
Gold	USD 3,717	-0.1%
BTC	USD 115,438	+0.1% (YTD: +23.4%)
Chimera JP Morgan UAE Bond UCITS ETF	AED 3.62	+0.6% (YTD: +3.9%)
S&P MENA Bond & Sukuk	150.36	0.0% (YTD: +7.4)
VIX (Volatility Index)	15.69	+6.3% (YTD: -9.6%)

THE CLOSING BELL-

The DFM rose 0.2% yesterday on turnover of AED 634.2 mn. The index is up 17.1% YTD.

In the green: Depa (+14.3%), Gulf Navigation Holding (+6.9%) and Al Firdous Holding (+3.8%).

In the red: BHM Capital Financial Services (-5.9%), National International Holding Company (-5.4%) and Al Mal Capital REIT (-5.0%).

Over on the ADX, the index rose 0.2% on turnover of AED 1.1 bn. Meanwhile, Nasdaq Dubai was up 0.1%.

CALENDAR

SEPTEMBER

1 September-5 October (Monday-Sunday): DMCC Web3 Unleashed applications

8-18 September (Monday-Thursday): BHM Capital Financial Services’s AED 200 mn rights issue will be open for subscriptions.

8-19 September (Monday-Friday): Universal Postal Congress, Dubai World Trade Center.

10-20 September (Wednesday-Saturday): IFMA Youth World Muay Thai Championship, Abu Dhabi.

15-18 September (Monday-Thursday): Abu Dhabi Chamber of Commerce and Industry will lead a delegation to Germany.

15-19 September (Monday-Friday): The Ajman Department of Tourism Development promotional roadshow in India today.

16-17 September (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

17-18 September (Wednesday-Thursday): SHRM MENA hosts its Annual Conference + Expo, Madinat Jumeirah, Dubai.

17-18 September (Wednesday-Thursday): MBRSC hosts Space Science Connect event, Dubai

23-24 September (Tuesday-Wednesday): MENA EV Show, The Agenda, Dubai Media City.

23-30 September (Tuesday-Tuesday): Subscription period for Alec Holding’s IPO.

24 September (Wednesday): Syria Recovery and Investment Forum, Abu Dhabi.

24-25 September (Wednesday-Thursday): The KT UniExpo, The H Dubai.

24-25 September (Wednesday-Thursday): Mohammed Bin Rashid Leadership Forum, Mohammed Bin Rashid Center for Leadership Development, Dubai.

24-25 September (Wednesday-Thursday): Dubai World Congress for Self-Driving Transport, Dubai.

25-27 September (Thursday-Saturday): International Congress of Medical Excellence in Dermatology and Aesthetic Med, Dubai World Trade Center.

29 September-October 1 (Monday-Wednesday): African, Middle East, and Islamic Finance Aviation 100 Awards, Dubai.

30 September-1 October (Tuesday-Wednesday): MENA Investment Congress (MENA ICON), Abu Dhabi.

30 September-2 October (Tuesday-Thursday): Global Rail Transport Infrastructure Exhibition and Conference, Abu Dhabi.

30 September-2 October (Tuesday-Thursday): The Water, Energy, Technology, and Environment Exhibition (Wetex), Dubai World Trade Center.

30 September (Tuesday): Africa Debate Conference, Dubai.

30 September (Tuesday): Dubai Podfest, Dubai.

OCTOBER

1 October (Thursday): Final price for Alec Holding’s IPO to be announced.

1-2 October (Thursday-Friday): World Green Economy Summit (WGES), Dubai World Trade Center.

3-16 October (Friday-Thursday): Dubai Home Festival.

7 October (Tuesday): Enterprise Egypt Forum 2025.

7-9 October (Tuesday-Thursday): The International Symposium on the System of Radiological Protection, the Ritz-Carlton Abu Dhabi, Grand Canal.

9 October (Thursday): Family Office Summit, Park Hyatt, Dubai.

9-15 October (Thursday-Wednesday): IUCN World Conservation Congress, Abu Dhabi.

12-15 October (Sunday-Wednesday): Expand North Star, Dubai Harbor.

14-16 October (Tuesday-Thursday): Global Future Councils, Dubai.

15 October (Wednesday): Alec Holding’s shares to begin trading on the DFM.

15-18 October (Wednesday-Saturday): Middle East Electric Vehicle Show, Expo Center Sharjah.

22 October (Wednesday): Reuters NEXT Gulf Summit, The St. Regis Saadiyat Island Resort, Abu Dhabi.

22-24 October (Wednesday-Friday): World Investment Conference, Expo Center Sharjah.

23 October (Thursday): S&P Global’s annual Islamic Finance Conference, DIFC Atrium, Dubai.

27 October (Monday): The UAE Africa Tourism Investment Summit, Dubai.

27-29 October (Monday-Wednesday): Future Hospitality Summit, Madinat Jumeirah, Dubai.

27-29 October (Monday-Wednesday): Asia Pacific Cities Summit, Dubai Exhibition Center.

28-29 October (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

NOVEMBER

1-2 November (Saturday-Sunday): Women's Empowerment Convention (WE Convention), Atlantis The Royal, Dubai.

4-9 November (Tuesday-Saturday):Dubai Design Week, Dubai.

10-15 November (Monday-Saturday): SASC organizes Abu Dhabi Autonomous Week, Abu Dhabi.

11-17 November (Tuesday-Monday): International Council of Museums (ICOM) General Conference, Dubai

12 November (Wednesday): Dubai Business Forum, Cipriani South Street, New York City.

12-17 November (Wednesday-Monday): RoboCup Asia-Pacific, Khalifa University, Abu Dhabi.

13-15 November (Thursday-Saturday): International Financial Markets (ICA) Conference and Exhibition, Conrad Dubai.

15-17 November (Saturday-Monday): Myplant & Garden Middle East Green Expo, Dubai Exhibition Center, Expo City.

17-21 November (Monday-Friday): Dubai Airshow, Al Maktoum International Airport, Dubai.

18-19 November (Tuesday-Wednesday): Dubai Future Forum, Museum of the Future, Dubai.

19-23 November (Tuesday-Sunday): Abu Dhabi Art, Manarat Al Saadiyat, Abu Dhabi

24-27 November (Monday-Thursday): Big 5 Global Exhibition, Dubai World Trade Center, Dubai

DECEMBER

1-3 December (Monday-Wednesday): Eid Al Etihad (UAE National Day).

2-5 December (Tuesday-Friday): Sotheby’s Abu Dhabi Collectors’ Week, Abu Dhabi

1-5 December (Monday-Friday): The World Congress of Neurosurgery, Dubai World Trade Center.

7-14 December (Sunday-Sunday): Asian Youth Para Games, APC headquarters, Dubai.

8 December (Monday): DeFi Technologies Insights Global Symposium, Emirates Palace, Abu Dhabi.

8-9 December (Monday-Tuesday): BTC Mena Conference, Adnec, Abu Dhabi.

8-9 December (Monday-Tuesday): Global AI Show 2025, Abu Dhabi.

8-10 December (Monday-Wednesday): Bridge media summit, Abu Dhabi.

8-11 December (Monday-Thursday): Abu Dhabi Finance Week, Al Maryah Island.

9-10 December (Tuesday-Wednesday): US Federal Reserve’s Federal Open Market Committee meeting.

13-15 December (Saturday-Monday): Mobile Developers Week, Abu Dhabi

18-23 December (Thursday-Tuesday): Games of the Future, Adnec, Abu Dhabi.

29-30 December (Monday-Tuesday): World Sports Summit, Dubai.

Signposted to happen sometime in 2025:

e& will complete Adnoc’s private 5G network
Executive Committee Meeting (EXCOM 2025) conference of the World Smart Sustainable Cities Organisation (WeGO)

Signposted to happen sometime in 2H 2025:

Closing of XRG's acquisition of Covestro

JANUARY 2026

1 January: Client asset regime changes in Dubai International Financial Center take effect.

9-11 January (Friday-Sunday): 1 Bn Followers Summit, UAE.

28-29 January (Wednesday-Thursday): IBA Arbitration Day Conference, Abu Dhabi.

28-30 January (Wednesday-Friday): World Customs Organization Technology Conference, Adnec Center, Abu Dhabi.

FEBRUARY 2026

3-5 February (Tuesday-Thursday): The World Governments Summit.

12-15 February (Thursday-Sunday): The Society for Incentive Travel Excellence Global Conference, Abu Dhabi.

9-13 February (Monday-Friday): The World Health Expo (WHX), Dubai.

JUNE 2026

15 June-15 September (Monday-Thursday): Dubai Mallathon, Dubai.

Signposted to happen in 2026:

31 March - 2 April (Tuesday-Thursday): Arab Media Summit, Dubai.
13-15 April ( Monday-Wednesday) : The International Glass Manufacturing Show, Dubai.
14-16 April: (Tuesday-Thursday): the International Property Show, Sheikh Zayed Rd, Dubai.
11-13 May (Monday-Wednesday): AI Everything Global, Adnec Center.
The UAE to host the Arab Competition Forum
Dubai to host the Arab Actuarial Conference
United Nations Water Conference
Dubai Future Finance Week
Investopia Global Talks, Tashkent

Signposted to happen sometime in October 2026:

Abu Dhabi Space Week, Abu Dhabi.

Signposted to happen sometime in 2027:

1Q 2027: Completion of the first phase of Hassyan seawater desalination project.
Abu Dhabi’s solar and battery energy facility, combining 5.2 GW of solar capacity and 19 GWh of battery storage, is set for commissioning.

Signposted to happen sometime between 2027 and 2029:

Sibos 2029 organized by the Society for Worldwide Interbank Financial Telecommunication (SWIFT), Dubai.
The commissioning of the seventh phase of Mohammed bin Rashid Al Maktoum Solar Park.

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