NYC Mayor Mamdani Rescinds Predecessor's Orders; CES 2026 Preview; Market Outlook & Gold; Tesla vs. BYD

NYC Mayor's First Actions

• 🏙️ New York City Mayor Zohran Mamdani began his term by rescinding all executive orders issued by his predecessor, Eric Adams, over the preceding 15 months.
• ⚖️ This directive, issued after Adams' indictment on federal corruption charges (later dropped), aims to provide a "fresh start" for the new administration.
• 🇮🇱 Among the revoked orders were those barring city officials from engaging in procurement that discriminates against Israel and guidance for pension officials to prohibit divesting from Israel-related holdings.
• 🗣️ Mamdani has been a vocal critic of Israel's government and a supporter of the "Boycott, Divestment, Sanctions" movement.

CES 2026 Preview: AI Dominance

• 🤖 Artificial Intelligence (AI) is expected to be the overarching theme at CES 2026, impacting various sectors like automotive, home, and health.
• 💡 AI in cars will focus on EVs and self-driving capabilities, while consumer applications may include humanoid robots for household chores.
• 🏭 The show is also seen as an enterprise event, highlighting physical AI and robots in warehouses, manufacturing, and healthcare.
• 💻 Expect a strong focus on AI PCs, chips for all devices, and related software solutions.
• 🏠 Concerns about privacy and security are paramount regarding robots with human-like appearance and mobility in homes with children and pets.

Investment Themes for 2026

• 📈 Investors are advised to prepare for a new era defined by innovation and financial accountability, moving beyond pre-2020 investment assumptions.
• 💡 AI, technology, and automation remain key, with a shift from scarcity in compute/energy to adoption and margin improvement, leading to fiercer competition.
• 🏗️ Infrastructure development and using old-world assets to build new-world capabilities are crucial, with an overweight on real assets.
• 🥇 Assets with embedded scarcity are vital in a period of financial abundance and excess; gold is considered essential, with a recommended allocation of 5%.
• 🚀 Bitcoin, with its embedded scarcity, is viewed as a maturing asset and a potential "catch-up trade", with a 1-2% allocation suggested.

Tesla vs. BYD and Future Vision

• 🚗 BYD has surpassed Tesla as the world's top seller of pure electric vehicles (EVs) on an annualized basis, though BYD also sells hybrids.
• 📉 Both companies face challenges, including macro weakness in EVs and rollback of incentives in China.
• 🇺🇸 BYD does not sell cars in the US, while Tesla faces competition in Europe, where BYD's lower production costs ($10,000 per unit vs. Tesla's $23,000) pose a significant challenge without tariffs.
• 🚀 Tesla's future vision extends beyond EVs to robo taxis, humanoid robots (Optimus), and energy deployment, with a mandatory goal of delivering 20 million vehicles over 10 years.
• 🛰️ SpaceX's Starlink business is a highly profitable and valuable asset, with potential for a significant IPO, while also planning for space-based data centers.