ADQ is now part of L’Imad. Plus: Tahnoon-linked entity buys into Trump’s World Liberty Financial

1

WHAT WE’RE TRACKING TODAY

THIS MORNING: Carlyle could tap a UAE investor for Lukoil acquisition + Fuel prices down again in February

Good morning, friends, and happy first workday of a new month. We have a relatively busy issue with which to start the week, with two big stories coming up over the weekend: ADQ is now firmly under new sovereign wealth fund L’Imad’s umbrella, and the Wall Street Journal reports that US President Donald Trump’s crypto venture World Liberty Financial has now found a major shareholder in Sheikh Tahnoon bin Zayed Al Nahyan-backed investment vehicles.

On the macro front, non-oil trade came in at AED 3.8 tn last year, marking a new record and bringing us very close to the government’s AED 4 tn target. Plus: Abu Dhabi wrapped the year with a slight acceleration to 1.5%.

PSA

February oil prices are in: The UAE fuel price committee has lowered costs across the board for February, according to an Emirates Petroleum Company post on X. This marks another dip from January.

Here’s the new breakdown per liter:

Super 98 is now AED 2.45, down from AED 2.53 in January (-3.2%);
Special 95 is AED 2.33, down from AED 2.42 (-3.7%);
E-Plus 91 is AED 2.26, down from AED 2.34 (-3.4%);
Diesel is AED 2.52, down from AED 2.55 (-1.2%).

⛅WEATHER- It’s a partly cloudy day today, with temperatures reaching 26°C in Dubai and 27°C in Abu Dhabi, with an overnight low of 16°C in Dubai and 14°C in the capital.

Watch this space

M&A WATCH — Not out of the race for Lukoil’s assets after all? US private equity firm Carlyle is reportedly in early-stage talks with UAE investors to bring them on as co-investors for its proposed acquisition of Russian oil firm Lukoil’s foreign assets, sources told Reuters.

ICYMI- We had reported last week that IHC and Adnoc — both of whom were rumored to be in talks with Lukoil — may be out of the running for Lukoil’s international assets, after Carlyle and Lukoil announced a preliminary agreement a few days ago to acquire a broad portfolio of assets from Lukoil, but sources have told Reuters that Abu Dhabi sovereign wealth fund Mubadala, Adnoc’s XRG, and IHC were holding discussions with the US private equity player about stakes in the portfolio. Nothing has been set in stone so far.

Where we’re at: The transaction remains subject to approval from US authorities. No valuation has been agreed, though one source put the assets’ value at around USD 22 bn. One source says Emirati investors were particularly keen on Litasco, Lukoil’s trading arm, which shifted its regional trading business to a newly-formed Dubai entity last summer. However, US officials are keen to keep Lukoil’s portfolio intact. The Russian firm is also still talking with other firms on a takeover.

What’s still needed? The US imposed sanctions on Lukoil and Rosneft last October and Lukoil has until 28 February to sell the assets. US authorities are requiring Carlyle to carry out due diligence. Proceeds from a sale would go into US-controlled coffers and remain frozen until the sanctions are lifted.

DISPUTE WATCH — NMC drops GBP 2 bn lawsuit against EY: Abu Dhabi-based hospital operator NMC Healthcare dropped its GBP 2 bn London lawsuit against auditor EY, initially filed in 2022, Reuters reports. The trial began in London’s High Court in May and concluded in October, with the operator withdrawing its claim before the court could rule on the case.

BACKGROUND- NMC’s administrators were suing EY for failing to detect fraudulent activity between 2012-2018. Later in 2020, the healthcare operator collapsed and was forced into administration after a report from shortseller Muddy Waters claimed it had inflated its assets and owned over USD 4 bn in hidden debt. In response to NMC’s allegations, EY said senior NMC figures were deliberately hiding the firm’s accounts and denied accusations of negligence.

REAL ESTATE — AED 500 mn Umm Suqeim beach renovation: Dubai’s Umm Suqeim Beach is getting an AED 500 mn upgrade, after Dubai Crown Prince Hamdan bin Mohammed bin Rashid Al Maktoum approved a redevelopment master plan, according to Dubai Media Office. Spanning a 3.1-km stretch and covering nearly 445k sqm in total, the development will increase the beach area by 30% and feature a 38-m observation tower.

The details: Infrastructure upgrades include a 200% increase in parking capacity to accommodate 2.4k spaces, 11 taxi hubs, and a designated network for bicycles and electric scooters. The project will also construct a 2-km retaining wall to address rising sea levels.

M&A WATCH — Mubadala to back USD 10 bn buyout of Singapore data giant: Mubadala and Singaporean sovereign wealth fund GIC are in talks to join KKR & Co and Singapore Telecommunications in their bid to purchase ST Telemedia Global Data Centres (STT GDC) — a Singapore-based data center operator — in a transaction that could value the operator at above USD 10 bn, Bloomberg reports, citing sources it says are in the know. The sovereign wealth funds would back the bid as minority co-investors. More details could be announced later this week, the sources said.

STT GDC is a global data center player that operates over 100 facilities across 20 countries. KKR and Singapore Telecommunications became minority owners in the firm after securing a USD 1.3 bn stake last year.

Happening today

Our fellow photo nerds in the UAE have been looking forward to this year’s Xposure, on until Wednesday, 4 February in Sharjah. This year’s global celebration of visual storytelling features a who’s who of talented photographers — including our friend Romany Hafez, whose haunting analog work explores memory, presence, and sacred spaces.

Happening this week

Trilateral Ukraine, Russia, US talks in Abu Dhabi: The next round of trilateral negotiations between Ukraine, Russia, and the US will be held on Wednesday and Thursday in Abu Dhabi, Ukrainian President Volodymyr Zelenskyy said in a post on X. He added that Ukraine is seeking “a real and dignified end to the war.”

ICYMI- The talks would follow the first round of meetings held in the UAE capital at the end of January. The ceasefire negotiations came amid ongoing fighting, and security assurances and territorial disputes remained sticking points. However, in recent days both countries have scaled back their attacks following a temporary truce to protect energy infrastructure, which expired yesterday, ABC News reports.

The World Governments Summit runs from tomorrow to Thursday, 5 February in Dubai under the theme Shaping Future Governments. Government leaders, international organizations, and private-sector executives will focus on governance reform, technology, and global policy challenges.

MENA’s MEVCA Investors Summit takes place on Wednesday, 4 February in Abu Dhabi, gathering the venture capital community as capital allocators and fund managers assess fundraising conditions, LP sentiment, and sector priorities shaping the region’s VC pipeline.

PropTech Connect Middle East is happening on Wednesday, 4 February and Thursday, 5 February in Dubai, bringing investors, developers, and property-tech firms together to discuss AI, data, blockchain, and digital tools reshaping real estate markets across the region.

The International Arab Actuarial Conference runs from Wednesday, 4 February until Friday, 6 February in Dubai, bringing together actuaries, insurers, regulators, and banks from across MENA. Sessions will focus on AI, health ins., cyber risk, catastrophe modeling, and pension sustainability.

The big story abroad

It’s a quiet Monday morning in the global business press, with one story dominating the headlines — the gold and silver crash. Bloomberg is out with a piece looking at the role Chinese speculators played in the metals’ rally and subsequent crash. The rally seen by gold, sustained over years by central banks hedging against potential losses from the USD, was intensified in recent weeks by a wave of buying from Chinese investors and equity funds.

Then came the selloff: As soon as the greenback started heading upwards, boosted by news of Kevin Warsh’s nomination as Fed Chair, Shanghai cashed out its holdings in gold. The fallout saw the metal dropping at one point by more than USD 200 an ounce in ten minutes.

Silver was another casualty of the sudden twist of fate, dropping by 27% on Friday — its biggest drop on record.

^^ We have more on the rebound of the USD and gold crash in this morning’s Planet Finance.

CLOSER TO HOME- Egypt, Qatar, Turkey to broker US-Iran talks this week: The Trump administration is reportedly open to a diplomatic solution with Iran, as Egypt, Qatar, and Turkey work to broker a sitdown in Ankara this week, Axios reported, citing sources it says are in the know. Negotiations would involve a meeting between White House envoy Steve Witkoff and high level Iranian officials to discuss averting the breakout of a regional war.

The roundup of news and trends that move your markets and shape corporate agendas delivered straight to your inbox.

Subscribe here

***

You’re reading EnterpriseAM UAE, your essential daily roundup of business, economics, and must-read news about the UAE, delivered straight to your inbox. We’re out Monday through Friday by 7am UAE time.

EnterpriseAM UAE is available without charge thanks to the generous support of our friends at Mashreq and Hassan Allam Properties.

Want to send us a story idea, request coverage, ask for a correction, or otherwise get in touch? Reach out to us on UAE@enterpriseAM.com .

DID YOU KNOW that we also cover Egypt, Saudi Arabia, and the MENA logistics industry?

***

Market watch

Opec+ is sticking to its guns and keeping oil output increases on hold through March, attributing the decision to “seasonality,” according to a press release. The cartel had agreed last year to pause hikes through 1Q 2026, after raising production quotas by about 2.9 mn barrels a day between April and December 2025.

This is despite oil prices increasing to over USD 70 a barrel last week, despite earlier expectations of a supply glut pushing prices down.

What to watch: The next meeting is set for 1 March, and we have no forward guidance to go off of from Opec+, which is in itself “significant,” an analyst told Reuters. This could most likely be due to current geopolitical uncertainty, with the cartel possibly leaving all options on the table pending further clarity on ongoing tensions between the US and Iran.

Circle your calendar

Check out our full calendar on the web for a comprehensive listing of upcoming news events, national holidays and news triggers.

Abu Dhabi centralizes sovereign wealth by folding ADQ into L’imad

Abu Dhabi has approved a major reshuffle of its state investment architecture, folding Abu Dhabi-based investment giant ADQ under L’imad Holding, a newer sovereign investment platform chaired by Crown Prince Khaled bin Mohamed bin Zayed Al Nahyan, according to Abu Dhabi Media Office.

What changed: Under a resolution issued by the Supreme Council for Financial and Economic Affairs, all of ADQ and L’imad’s assets and investments will be consolidated under L’imad’s umbrella, creating a single, enlarged sovereign investment vehicle. Just last week, ADQ’s CEO was announced to be stepping down from his role and moving to Lunate as executive chairman.

Why now

Analysts say the move is about speed and tighter strategic control as regional competition intensifies. “It makes more sense to pool these resources and assets to make decisions and execute them swiftly at a time Abu Dhabi really needs to ramp up its geo-economic game,” King’s College London’s Andreas Krieg said, pointing to pressure from rivals such as Saudi Arabia.

Background: What L’imad has been building

As we’ve previously reported, L’imad plans to invest across priority sectors including infrastructure and real estate, financial services and asset management, advanced industries and technologies, urban mobility, and smart cities. The platform is chaired by Sheikh Khaled, with Jassem Al Zaabi as managing director and CEO, and joining them on the board is Mubadala CEO Khaldoon Al Mubarak. ADQ was formerly chaired by Sheikh Tahnoon bin Zayed, who also chairs AI investor MGX, the Abu Dhabi Investment Authority, and IHC, though he’s not named as being one of L’Imad’s board members.

Recent moves:

Abu Dhabi folded state-backed mobility investor Cyvn Holdings into L’imad, consolidating stakes including McLaren Racing — valued at more than GBP 3 bn — and an 18% holding in Chinese EV firm Nio;
L’imad acquired a 42.5% stake in Modon Holding from International Holding Company and ADQ;
It also emerged in December as one of the Gulf backers of Paramount’s USD 108.4 bn bid for Warner Bros, alongside Saudi Arabia’s Public Investment Fund and the Qatar Investment Authority.

Why it matters

The scale. Taken together, the platform could ultimately oversee hundreds of bns of USD, with ADQ’s USD 263 bn in assets under management prior to the consolidation, Bloomberg reports. The new entity could hold as much as USD 500 bn, Krieg said.

ADQ’s assets are “the backbone of the Abu Dhabi economy,” Global SWF’s Diego Lopez told the business news outlet, adding that the enlarged platform “will be hugely influential and impactful.”

Beyond balance sheets, the move is equally about who’s controlling what. Folding ADQ into L’imad places Sheikh Khaled at the center of managing some of Abu Dhabi’s most strategic holdings, adding to his more political role in Abu Dhabi as chairman of the Abu Dhabi Executive Council and Abu Dhabi crown prince.

What to watch

How quickly the enlarged L’imad platform deploys capital, and whether centralized control translates into faster execution across infrastructure, energy, logistics, and technology — where Abu Dhabi is seeking long-term geo-economic influence.

Tahnoon-linked entity quietly buys into Trump-linked US crypto venture

Entities backed by UAE National Security Advisor Tahnoon bin Zayed Al Nahyan last year snapped up a 49% stake in World Liberty Financial, a US-based crypto company linked to US President Donald Trump, World Liberty spokesman David Wachsman confirmed to the New York Times after the Wall Street Journal broke the news, citing company documents and people familiar with the matter. The agreement was quietly signed in January 2025, days before the US president’s inauguration.

What we know: The buyer was Aryam Investment 1, a Tahnoon-backed vehicle set to become World Liberty Financial’s largest shareholder and take two board seats. The stake was valued at USD 500 mn, with USD 250 mn paid upfront — USD 187 mn of that first tranche flowed to Trump family entities, with the remainder going to companies linked to World Liberty’s founders.

The timeline: Aryam Investment was registered as an entity roughly a week after US Special Envoy to the Middle East Steve Witkoff’s visit to the UAE. The Emirates made its USD 1.4 tn investment pledge to the US a few months later, and it was later confirmed that a previous MGX USD 2 bn investment in crypto exchange Binance had been made using World Liberty Financial’s USD 1 stablecoin. A final green light for Nvidia chip sales to the UAE came later in October.

Our take

The UAE has been pushing for broader access to US tech. The disclosure lands as Sheikh Tahnoon’s efforts to unlock advanced AI infrastructure appear to be gaining traction, following negotiations at the start of last year to ease export restrictions as Abu Dhabi scaled its compute ambitions.

The payoff so far: As we reported, Washington has since cleared exports of several USD bns worth of Nvidia AI chips to the UAE under a new framework tied to Emirati investment in US AI infrastructure, easing earlier curbs. The shift has helped advance projects such as the 5 GW Stargate UAE AI campus, priced at USD 30 bn, with initial capacity expected to come online within the next couple of months.

Still moving: The UAE is continuing to build longer-term access pathways. Last month, Abu Dhabi joined Pax Silica, a US-led initiative focused on securing AI-era supply chains — from advanced semiconductors to power and connectivity.

What to watch: Whether the new stake has any bearing on the pace or scope of approvals for future US chip exports tied to large-scale compute projects already underway.

Non-oil trade hits AED 3.8 tn record

The UAE’s non-oil foreign trade hit AED 3.8 tn last year, marking a record high and a 26.8% rise y-o-y, according to a post on X from Prime Minister Mohammed bin Rashid Al Maktoum and state news agency Wam. The results come as average global trade saw a smaller 7% uptick, Foreign Trade Minister Thani bin Ahmed Al Zeyoudi told Wam. Non-oil foreign trade hit AED 2.8 tn in 2024.

On the export side, non-oil trade volumes surpassed AED 813 bn, up 45.5% from 2024’s figure and accounting for 21.6% of total trade.

That’s lower than imports, which came in at AED 2.1 tn during the year, up 25.7% y-o-y. However, re-exports — which came in at AED 830.2 — helps — nearly — bridge the gap between both.

The results put the Emirates 95% of the way toward its goal of reaching AED 4 tn in non-oil foreign trade by 2031 — which was already expected to be brought forward to 2027, Dubai Media Office said last summer.

Key Emirati exports included aluminum, gold, precious metals, refined petroleum oils, and polypropylene polymers.

CEPA agreements were credited with driving the rise, with 14 new agreements coming into effect by the end of last year. Trade agreements led to an uptick in trade with India (+15%), Turkey (+15%), Malaysia (+22%), and Australia (+37%).

More are in the cards: An agreement with Japan is in its final stages, while negotiations with both the EU and Ecuador are seeing progress, Al Zeyoudi said.

Abu Dhabi inflation accelerates to 1.5% December

Abu Dhabi’s annual inflation rate rose to 1.5% in December 2025, up from 0.9% in N ovember, according to data (pdf) from the Abu Dhabi Statistics Center. On a monthly basis, the consumer price index inched up to 0.4% in December, reversing a 0.3% decline the previous month, according to separate data (pdf).

Housing, water, electricity, and gas — the largest component of the basket with a 33.6% weighting — saw a 4.2% climb in December, up from 3.9% in November. Furnishings, household equipment, and routine household maintenance inched up 5.5%, albeit at a slower pace than November’s 5.9%. The ins. and financial services sector posted a 6.6% y-o-y increase, remaining unchanged for the fourth consecutive month.

Transport prices — the second largest component — returned to inflation territory (1.4%) after a 2.9% decline in November. This follows the Fuel Pricing Committee’s upward adjustment of petrol and diesel prices at year-end, before lowering them sharply in January and modestly this month. Clothing and footwear prices plummeted 12.7% y-o-y, while recreation and culture costs fell 5% y-o-y.

On a monthly basis, transport prices saw the largest jump in the basket with a 2.4% m-o-m uptick, reversing a 3.4% contraction in November. Personal care and miscellaneous goods rose 1.2% m-o-m, while tobacco inched up 0.3% m-o-m up, bouncing back from November’s decline. This comes alongside incremental growth in housing (+0.3%) and furnishings (+0.3%), as well as marginal 0.1% upticks in food and communication. These gains were partially offset by a 4.2% drop in recreation and culture and a 0.3% dip in hotels and restaurants, while health, ins. and financial services, and education costs remained flat.

Abu Dhabi’s inflation remains lower than Dubai’s, which accelerated to 2.99% in December, up from 2.73% in November, driven by higher transportation and food costs.

What’s next: Inflation in Abu Dhabi is expected to decline below 1.5% in 2026, supported by a potential drop in UAE oil prices, MENA economist Hamzeh El-Gaaod told EnterpriseAM.

**This story was amended to remove mention of an increase in restaurant prices on a m-o-m basis.

Magellan Capital scales up multi-strategy fund to USD 975 mn

Dubai-based investment management and advisory firm Magellan Capital haslaunched a USD 975 mn multi-strategy hedge fund, marking a scale-up from its USD 700 mn soft launch in 2024. Ahmed Omar (LinkedIn), CEO and CIO of Magellan Capital, will lead the fund.

BACKGROUND- Magellan Capital first outlined plans in 2024 for a USD 700 mn multi-strategy hedge fund, which Bloomberg said at the time would rank among the UAE’s largest hedge fund debuts. Preqin data showed that fewer than 5% of hedge funds globally raised more than USD 500 mn that year.

Who’s involved? The vehicle is fully anchored by in-house capital from Magellan’s ultimate beneficial owner. We previously reported that the fund’s seed capital came from the family fortune of Magellan owner Hassan El Ali, whose family founded and sold Zakher Marine International to Adnoc Logistics & Services for USD 1.1 bn two years ago. The fund is open to institutional investors, family offices, and high-net-worth individuals.

Fund details: The Magellan Absolute Return fund marks the first time the firm is bringing on third-party capital, and will tap into emerging market credit, long-short investing, and long-only equities. The original plan was also to capitalize on arbitrage prospects between producers and suppliers, former Magellan Capital portfolio manager Britney Lam said at the time.

Remember: The firm has courted some controversy

The same Britney Lam who left Magellan in October 2024 went on to file complaints with the DFSA and UK Financial Conduct Authority (FCA), alleging that Omar concealed losses and blocked staff from raising risk concerns. At the time, the firm said it wasn’t holding or managing client assets, hadn’t been contacted by regulators, and was not currently being regulated by the FCA.

Binghatti, Ghitha turn in 2025 results

Binghatti Holding nearly doubles its net income

Binghatti had a big year in 2025, with the Dubai developer reporting a 95.6% y-o-y surge in net income to AED 3.6 bn for the year, according to its financials (pdf). Revenue from contracts with customers climbed 95.8% y-o-y to AED 12.4 bn. Results came on the back of a one-off AED 46.9 mn fair value gain on investments, as well as a 76.1% uptick in finance income. Binghatti had posted a 151.7% bottom-line jump for 2024.

Proof on the ground: The results come during an active stretch, including the launch of an AED 30 bn branded residence project in Meydan in partnership with Mercedes-Benz, and reports of tapping banks for a possible IPO. Total assets rose 91.8% y-o-y to AED 24.4 bn, the filing shows.

Ghitha Holding posts AED 89.9 mn net income in 2025

Agriculture and food platform Ghitha Holding reported a net income of AED 89.9 mn last year, down from AED 2.7 bn the year before, according to its financials (pdf). The downturn came as a 11.0% uptick in the cost of sales muted a 13.5% top-line boost to AED 5.6 bn, while the previous year’s results benefited from a one-off AED 2.7 bn gain on a subsidiary derecognition.

2025 snapshot: Improved cost efficiency and discipline, alongside a favorable product mix helped drive results for the year — which also saw solid expansion across core business lines and contributions from acquisitions, the firm said in a separate earnings release (pdf). Last year saw five local food brands consolidated under Al Ain Farms Group, backed by Ghitha, and Ghitha itself became a listed subsidiary of 2PointZero Group following a merger combining 2PointZero, Multiply Group, and Ghitha Holding into an AED 120 bn entity.

FAB Formosa draws in USD 750 mn, FinMin secures AED 1.1 bn in t-sukuk, Tarabut acquires Bahraini AI player, and a PPP for Ras Al Khaimah

FAB raises more Formosa funds

First Abu Dhabi Bank (FAB) raised USD 750 mn in its USD-denominatedFormosa bond issuance, Zawya reports. The Regulation S notes kept their initial price guidance of 75 basis points over the secured overnight financing rate, to be paid in arrears quarterly. The notes secured the expected Aa3 rating from Moody’s and the issuance will be listed on the Taipei Exchange and London Stock Exchange. It marks the second time the lender has tapped debt markets this year, following a USD 750 mn five-year Eurobond in January.

ADVISORS- Crédit Agricole’s Taipei branch, KGI Securities Co, and Standard Chartered Bank (Taiwan) served as joint lead managers, with Standard Chartered also acting as the billing and delivery bank, and FAB working as the structuring agent.

FinMin’s first T-sukuk of the year almost 5x oversubscribed

The Finance Ministry’s AED 1.1 bn T-sukuk auction in January was 4.7x oversubscribed, receiving AED 5.6 bn in bids from primary dealers, state news agency Wam reports. The auction included two tranches: a T-sukuk tranche, maturing in October 2027 and offering a yield of 3.66%, and a T-bond maturing in January 2031 with a yield of 3.90%. The yields represent a spread of 9 basis points above comparable US Treasuries.

The total outstanding value now stands at AED 28 bn, with the latest issuance deepening the UAE’s local debt capital market. It comes as the Finance Ministry opens up its T-sukuk to retail investors as well.

Tarabut adds AI to its open-finance stack

UAE-based open banking platform Tarabut acquired Servable, a Bahrain-founded, full-stack AI platform for regulated industries, for an undisclosed amount, according to a statement. Servable will be folded into Tarabut’s operations across Bahrain, Saudi Arabia, and the UAE, as it moves beyond data access into AI-driven decisioning.

Why it matters: The transaction sharpens Tarabut’s pitch to banks and fintechs seeking deployable AI, with full governance, privacy, and explainability integrated into its open-finance stack. It fits Tarabut’s expansion push — as its CFO previously told us, the firm is scaling in the UAE and KSA after securing in-principle approval from the Central Bank of the UAE under the Open Finance framework.

Tarabut has used M&A to build its stack before, acquiring London-based fintech Vyne in 2024 to roll out real-time, account-to-account payments starting in Bahrain, with Saudi Arabia and the UAE next.

Ras Al Khaimah inks PPP for water treatment

Ras Al Khaimah has signed its first public-private partnership, entering a long-term sewage treatment agreement with a consortium comprising Taqa Water Solutions, Etihad Water and Electricity (EtihadWE), and France’s Saur International to develop a 60k cbm / d wastewater treatment plant serving up to 300k people, according to Abu Dhabi Media Office.

The project will be delivered under a build-own-operate-transfer structure, with the consortium responsible for the design, financing, construction, operation, and maintenance of Ras Al Khaimah Wastewater Treatment Plant, before transferring ownership to the emirate’s Public Services Department at the end of the concession period.

The facility will anchor a broader wastewater and recycled-water network, including a 6.3-km gravity pipeline for wastewater collection and up to 26 km of transmission infrastructure for treated water distribution.

Crowded trades reverse as metals plunge and USD gains

A week of sharp market swings showed how quickly crowded trades can reverse. Tns of USD shifted as consensus bets stumbled, revealing the delicate positioning beneath an otherwise resilient bull market, Bloomberg reports. Precious metals bore the brunt of the volatility, with gold seeing its sharpest drop in decades and silver suffering a record-breaking plunge.

What happened? The USD index posted its biggest single-day gain since May, strengthening the greenback and unwinding the debasement trade that had fueled metals. The rebound crushed short-USD positions, sending gold down more than 9% and silver about 27% in a single session while triggering the worst relative day for emerging-market equities versus US stocks since May.

The selloff followed an extended period of crowding where gold had been trading around 44% above its long-term trendline — a premium last seen in 1980. Long gold was already flagged as the most crowded global trade, according to Bank of America’s fund manager survey for January, leaving markets vulnerable to a violent correction once sentiment turned.

What drove everyone to metals? The ever-increasing uncertainty taking over the global stage since January, fueled by unpredictable decisions made by the Trump administration, such as the sudden military operation in Venezuela and the looming threat of attacks on Iran.

“The unthinkable has been happening daily. The rally was obviously too much too fast,” Nicky Shiels, analyst at MKS Pam, told the Financial Times.

The Warsh effect: The selloff accelerated after US President Donald Trump nominated Kevin Warsh as Federal Reserve chair, with his hawkish reputation reviving uncertainty over the future path of rate cuts, according to Bloomberg analysts.

Investors weigh next moves: Some investors who rode gold’s rally are now questioning whether the pullback signals an early warning or just a pause. Jeff Muhlenkamp, whose USD 270 mn fund has benefited from the rally, told the business news service that the drop complicates exit decisions, as selling too soon risks missing further upside.

MARKETS THIS MORNING-

It is shaping up to be another eventful week for markets, as investors digest the latest fluctuations in gold and silver prices, the USD’s rebound after hitting lows not seen in years, and Trump’s nominee for Jay Powell’s replacement as Fed chair. Asia-Pacific markets are in the red this morning in early trading, with South Korea’s Kospi leading losses.

ADX	10,282	-0.8% (YTD: +2.9%)
DFM	6,435	-0.7% (YTD: +6.4%)
Nasdaq Dubai UAE20	5,180	-1.4% (YTD: +6.0%)
USD : AED CBUAE	Buy 3.67	Sell 3.67
EIBOR	3.4% o/n	3.6% 1 yr
TASI	11,168	-1.9% (YTD: +6.5%)
EGX30	47,663	-0.3% (YTD: +14.0%)
S&P 500	6,939	-0.4% (YTD: +1.4%)
FTSE 100	10,224	+0.5% (YTD: +2.9%)
Euro Stoxx 50	5,948	+1.0% (YTD: +2.7%)
Brent crude	USD 69.32	-0.4%
Natural gas (Nymex)	USD 4.35	+11.1%
Gold	USD 4,745.1	-11.4%
BTC	USD 76,664	-2.1% (YTD: -12.3%)
Chimera JP Morgan UAE Bond UCITS ETF	USD 3.8	0.0% (YTD: +1.3%)
S&P MENA Bond & Sukuk	151.48	-0.1% (YTD: -0.3%)
VIX (Volatility Index)	USD 17.44	+3.3% (YTD: 16.7%)

THE CLOSING BELL-

The DFM fell 0.7% on Friday on turnover of AED 976.1 mn. The index is up 6.4% YTD.

In the green: United Foods Company (+5.6%), National Cement Company (+4.1%), and Amlak Finance (+3.5%).

In the red: Chimera S&P UAE UCITS ETF – Share Class A – Accumulating (-8.0%), Sukoon Takaful (-6.5%), and Dubai Islamic Bank (-2.3%).

Over on the ADX, the index fell 0.8% on turnover of AED 1.5 bn. Meanwhile, Nasdaq Dubai was down 1.4%.

Abu Dhabi, Italy secure trade and customs agreement + UAE, Scotland set for more investment flows

UAE, Italy strengthen trade and customs corridor: An Abu Dhabi Department of Economic Development delegation inked several trade and customs agreements with Italy to strengthen growth across key sectors including manufacturing and agritech, according to a press release.

The Abu Dhabi Investment Office signed two agreements with Italian institutions — Assolombarda, an industrial entrepreneurial association, and Confagricoltura, a body representing agricultural businesses. The agreements focus on manufacturing, clean energy, and digital transformation across the agri-food value chain within the UAE’s AgriFood Growth and Water Abundance cluster, aimed at strengthening bilateral cross-border trade and investment collaboration.

PLUS- Abu Dhabi Customs entered into an agreement with Italy’s Customs and Monopolies Agency to work toward setting up a digital trade corridor to improve bilateral trade flows.

UAE reaches investment agreement with Scotland: The UAE’s Investment Ministry also just inked an agreement with Scotland to strengthen bilateral cooperation and investment flows, according to a Scottish government statement.

What’s in the cards? SMEs and public-private partnerships are the focus, with the agreement looking to support bilateral investment flows via joint ventures, business forums, and trade and networking events to help Emirati and Scottish firms link up and scale in their counterpart countries.

CALENDAR

JANUARY

31 January-7 February (Saturday-Saturday): Mubadala Abu Dhabi Open, International Tennis Center, Zayed Sports City.

FEBRUARY

Signposted to happen sometime this month: Investopia, Lagos, Nigeria.

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

4 February (Wednesday): Ministerial dialogue for Pax Silica members, Washington, DC.

4 February (Wednesday): Investors Summit, ADGM, Abu Dhabi.

4-5 February (Wednesday-Thursday): PropTech Connect Middle East, Grand Hyatt Dubai.

4-5 February (Wednesday-Thursday): MRO Middle East, Dubai World Trade Center, Dubai.

4-6 February (Wednesday-Friday): Arab Actuarial Conference, Millennium Plaza Downtown Hotel, Dubai.

9-11 February (Monday-Wednesday): AIBC Eurasia, Dubai Festival City, Dubai.

10 February (Tuesday): AVCJ Private Equity Forum, Four Seasons Hotel, Abu Dhabi.

11 February (Wednesday): Family Office Summit, Park Hyatt Dubai, Dubai.

11-13 February (Wednesday-Friday): MedTech World Middle East, Dubai.

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

9-12 February (Monday-Friday): World Health Expo (WHX), Dubai.

10-11 February (Tuesday-Wednesday): Top Advisors and Investors Summit, Abu Dhabi.

MARCH

31 March – 2 April (Tuesday-Thursday): Arab Media Summit, Dubai.

26-28 March (Thursday-Saturday): Social Capital Conference, Dubai.

28-29 March (Saturday-Sunday): Emirates International Congress on AI & Visionary Leadership in Transforming Healthcare, Adnec Center Abu Dhabi.

30 March – 2 April (Monday-Thursday): IAAPA Middle East Exhibition and Conference, Adnec Center, Abu Dhabi.

APRIL

7-9 April (Tuesday-Thursday): Future Health Summit, Adnec Center Abu Dhabi.

13-15 April (Monday-Wednesday): AIM Congress, Dubai World Trade Center.

13-15 April (Monday-Wednesday): The International Glass Manufacturing Show, Dubai.

14-16 April: (Tuesday-Thursday): the International Property Show, Sheikh Zayed Rd, Dubai.

21-23 April (Tuesday-Thursday): UITP Public Transport Summit, Dubai.

MAY

11-15 May (Monday-Friday): Dubai Future Finance Week, Dubai.

11-13 May (Monday-Wednesday): AI Everything Global, Adnec Center.

19-20 May (Tuesday-Wednesday): Capital Market Summit, Madinat Jumeirah, Dubai.

19-22 May (Tuesday-Friday): Abu Dhabi Water and Energy Week, Adnec Center, Abu Dhabi.

JUNE

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

JULY

31 July (Friday): Large businesses achieving annual revenues equal to or above AED 50 mn must appoint an accredited service provider for e-invoicing implementation.

Signposted to happen sometime in October 2026:

Abu Dhabi Space Week, Abu Dhabi.

NOVEMBER

9-10 November (Monday-Tuesday): Annual government meetings, Abu Dhabi.

DECEMBER

2-4 December (Wednesday-Friday): UN Water Conference, UAE.

Signposted to happen in 2026:

The UAE to host the Arab Competition Forum;
Investopia Global Talks, Tashkent.

Signposted to happen sometime in 2027:

1 January: Deadline for large businesses to implement e-invoicing;
1Q 2027: Completion of the first phase of Hassyan seawater desalination project;
31 March: Small businesses with annual revenues of less than AED 50 mn are obliged to contract with an accredited service provider for e-invoicing implementation;
31 March: Government entities are required to appoint an accredited service provider for e-invoicing implementation;
1 July: Deadline for small businesses to implement e-invoicing;
1 October: Deadline for governments to implement e-invoicing;
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 in 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.

Sections

About

Privacy & Support

Get EnterpriseAM daily