1. Luxury goods sales in world’s two largest markets waning. The growth of the global luxury goods industry in recent years has relied heavily on the Chinese and N. American markets, but the recent weaker-than-expected sales data in the two markets suggest that the global luxury consumption boom is waning. – See More on China Daily

2. Senators look to tuck AI, social media into huge defense bill. “We’ll take our first steps of the year on AI legislation,” Schumer said in a floor speech this week. – Read More on the Washington Post

3. Bluebell takes Kering stake in move to push for change. Bluebell Capital has taken a stake in French luxury group Kering and is pushing for change, including looking at a tie-up with Cartier-owner Richemont, two sources close to the matter told Reuters on Wednesday. – Read More on Reuters

4. As Congress grapples with AI regulation, will California step up? With a gridlocked Congress, some lawmakers and tech experts see the much more agile California Legislature as a key player in the debate. Gov. Gavin Newsom said he’s starting to focus on the issue. – Read More on the SF Chronicle

5. Adidas and Ye’s Secret Battle Over a $100M Marketing Fund. Adidas alleges the rapper diverted $75M from the fund, while Ye claims the company copied his designs to make its own shoes. – Read More on Bloomberg

6. RELATED READ: No TRO for Adidas in Yeezy Case, Parties Drop Claims Over Frozen Funds. The case got its start in November 2022 when adidas sought an order of attachment from the court to prevent the $75 million that it provided to Ye’s companies in 2022, alone, for the purpose of marketing their now-defunct Yeezy partnership from being moved or commingled. – Read More on TFL

7. Fast Fashion Report Cards Show What’s Really in Your Clothes. Polyester makes up 64% of Shein’s materials mix, 21% at H&M. – Read More on Bloomberg