July 6, 2018 7:20am
When you wish upon an upside session
Makes a difference who you invest in
Today, your dreams might have issues if trade issues come due
The challenge of today’s session will be anticipating the forthcoming Monday; IF momentum is constricted will it weigh heavily on sentiment and then we won’t be so … zip-a-dee
Pre-open indications: 4 SELLs
Out and about: Still agitating trouble about gene editing equity’ pricing
RMi reports the pricing component of pre-open indications that shed light on share pricing events and its follow-on value!
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U.S. stock index futures pull back ahead of the open as tariffs begin; jobs report due
Dow futures are DOWN -0.33% (-80 points) and NASDAQ futures are DOWN -0.16% (-12 points)
U.S. stock index futures paused ahead of Friday’s open, after the Dow had finished the previous session +181.9 points higher
European equities hovered around the flat line
Asian stocks bounced back with most markets finishing the session higher
Data docket: the latest round of nonfarm payrolls data. At 8:30 a.m. ET, the U.S. Bureau of Labor Statistics will release the numbers from June’s employment report. International trade data will also be released.
- Nonfarm payrolls are expected to have increased by 195,000 jobs during June <Reuters>.
Henry’omics:
Will NEGATIVITY become the concern of Friday’s session? Sentiment in “our” universe of healthcare equities is extremely flimsy!
Concerns surrounding trade are surfacing on Friday, after U.S. tariffs on $34 billion of Chinese goods came into effect. Major economies around the world are braced now for a trade war.
Interesting article <MarketWatch>:
- The exchange-traded funds universe could be about to do something in 2018 that it has seldom done before: shrink.
- Amid a lengthy period of market turmoil — particularly in equities, where the U.S. has been range bound for months and international stocks have been struggling — investors have once again pulled money from the investment vehicles, resulting in rare pauses in growth for an industry that has otherwise been surging in size by leaps and bounds for years.
- ETFs saw outflows of $679 million in June, according to State Street Global Advisors, one of the primary sponsors for ETFs. June represented the third month of negative flows so far this year, following back-to-back outflows in February and March.
- “This is the greatest number of months with outflows for a year since 2008,
In MY mind’s eye, ETFs when used as a tool; have many a weighing issue!
Today’s indications:
- The iShares Nasdaq Biotechnology (IBB) is indicating a +1.62% upside in Friday’s pre-market;
- The SPDR S&P Biotech ETF (XBI) is NOT indicating in Friday’s pre-market;
- The Health Care Select Sector SPDR ETF (XLV) is NOT indicating in Friday’s pre-open;
- The iShares Russell 2000 (IWM) is indicating a -0.18% decline in Friday’s pre-open
The past has an effect upon the future ...
From Thursday’s night’s newsletter: “validated and vindicated as I said the sector would be “quirky” and the session and its final hours proved it.”
Reiterating, “The sector is trading on pure low volume SPECULATION versus ANY headlines which means what (?), the overbought are about to have another come-“downance” (my word). I say … TIGHTEN your belt and GRID your loins for the coming weeks!”
The iShares NASDAQ Biotechnology (IBB) was UP +1.26% after Wednesday’s holiday, Tuesday’s -0.09%, Monday’s +0.79% and last Friday’s +1.73%, … with appositive aggregate of +3% - even as the pre-open indication is up, look for some weaknesses the weekend approaches. Its a few days to the next open and anything could happen to the market and sector.
I always want to know what happened PRIOR to what might happen today – it sets a tone of consequence!
Of the 45 companies covered on Thursday; 18 downside equities finished in a range of -$0.02 (CUR) to -$2.10 (GBT) while the 23 upside equities oscillated from +$0.01 (HSGX) to $4.75 (BLUE) with 4 flat close.
- Thursday’s decliners ranged from -0.18% <BLFS -$0.03 > to -5.51% < MDXG -$0.22> in 18 equities;
- Thursday’s gainers ranged from +0.03% <EDIT +$0.01> to +9.46% < KOOL +$0.0038> in 23 equities;
Companies in my headlights – It’s your decision; I provide the idea and context:
bluebird bio (BLUE) closed p +$4.75 to $162.20 with 492.2 K shares traded <3 month average = 823.5 K shares>. The aftermarket indication is a negative -$0.40 or -0.25% - SELL;
Gene editing stocks are again getting lofty after feeling little pain and are trading magnets with yet to be proven platform “integrity” – there is still a “stain” of “a disturbing link between the gene-editing technology and cancer”. What has gene editing shown us to date – I haven’t seen or have heard ground breaking RESULTS, just a could’ a or might be platform:
CRISPR Therapeutics (CRSP) closed up +0.48 to $61.74 with 837.7 K shares traded <3 month average = 1.623 M shares) after Wednesday’s holiday and Tuesday’s +$1.21 to $61.26 with 1.6 M shares traded after Monday’s $60.05 (+$1.29) having ended June at $58.76 and started at $67.13 with a low of $57.00. The aftermarket indication is a positive +$0.06 or +0.10% – Maintaining SELL;
Intellia Therapeutics (NTLA) closed up +$0.84 to $29.57 with 508.9 K shares traded <3 month average = 964.1 K shares> after Monday’s $28.73 (+$1.37) while ending June at $$27.36 and started at $25.45 with a low of $24.94 and a high of $30.79 - Maintaining SELL:
Editas Medicine (EDIT) closed up +0.01 to $36.83 with 734.5 K shares traded <3 month average = 1.03 M shares>after Wednesday’s holiday and Tuesday’s -$0.17 to $36.82 with 441.9 K shares traded after Monday’s $36.99 (+$1.16). EDIT ended June at $35.83 and opened (June) at $37.01; saw a high of $41.01 and a low of $35.68. The aftermarket indication is a negative -$0.03 or -0.08% - Maintaining SELL:
Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors. All investments are subject to risks. Investors should consider investment objectives.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.
