Fundamentals Intact, Confidence RepricedNetflix (NASDAQ:NFLX) has shifted from being a consensus favorite to a stock undergoing reassessment. That change in positioning, more than the absolute price decline, defines where the stock sits today.Over recent months, Netflix has materially underperformed the broader market, trading more than 30% below its peak. The drivers are familiar: a weaker-than-expected October earnings report, renewed scrutiny around execution, uncertainty tied to a potential Warner Bros. ...

Geopolitical Strategy & Risk Management - Germany's approach to China necessitates a focus on de-risking, framing it not as a question of affordability, but of necessity [1] - The discussion emphasizes the importance of de-risking strategies in the context of Germany's relationship with China [1] Podcast Reference - The "Drum Tower" podcast features a discussion with @jbvolkmann regarding Germany's approach to China [1]

Core Insights - The conference reflects a shift from a "China for China" narrative to a broader interest from international investors and companies in the Chinese market, indicating a significant change in dynamics [2][3][6] - The recent truce in trade relations between the U.S. and China has provided stability, allowing both sides to focus on transactional relationships and mutual interests [3][10] - Citi's strategy in China emphasizes growth and innovation, with a focus on serving international clients and supporting Chinese companies in their global expansion [6][10][14] Company Strategy - Citi has divested from its consumer banking business and retail wealth management, focusing instead on international clients and cross-border needs [5][13] - The firm is experiencing growth in headcount and productivity, countering narratives of pulling back from China [7][8][18] - Citi aims to leverage technological advancements to enhance client service and operational efficiency, with a notable increase in productivity in coding teams [16][18] Market Outlook - The Chinese economy is transitioning towards advanced manufacturing and innovation, with a significant portion of global robotic companies based in China [10] - New trade corridors are emerging, particularly between Asia and the Middle East, indicating a shift in global trade dynamics [12] - The wealth management sector is expected to grow significantly in Asia, with a focus on high-net-worth individuals and mid-market companies [15][21] Financial Health - Citi's balance sheet is described as pristine, with over 80% of corporate assets being investment grade, reflecting a strong financial position [30][31] - The firm is optimistic about the U.S. market outlook heading into 2026, despite concerns about inflation and potential economic challenges [27][29] - There are indications of frothiness in certain market segments, but core infrastructure investments are expected to yield productivity benefits [33][34]

Market Analysis - De-risking is considered a strategy rather than a trend change [1]

Geopolitical Strategy - Unlike European allies considering "de-risking" their defence-industrial base against potential American abandonment, Asian allies have not taken similar hedging measures [1] - Asian allies' reasons for not hedging are pragmatic [1]

Market Trends - August saw a derisking trend and fading momentum in the crypto market [1] - BTC decreased by 1.8%, while ETH increased by 0.2% [1] - Funding is cooling down, and long positions are being clipped [1] Company & Regulatory News - SEC approved in-kind for BTC & ETH ETFs [1] - Kraken is considering a $500 million IPO at a $15 billion valuation [1] Investment Activities - Saylor purchased 21,021 BTC [1]