July 24, 2018 7:48am

The iShares Nasdaq Biotechnology (IBB) is indicating a +0.81% UPSIDE in Tuesday’s pre-market;

After five (5) negative and six (6) positive closes in past eleven (11) sessions

 

Welcome back to the bouncing share pricing

 

Out and about: bluebird bio (BLUE) proposes $400 M offering …

Pre-open indications: 2 BUYs, 1 SELLs and 4 trades

 

RMi reports pre-open indications that shed light on share pricing events and today’s session values!

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U.S. stock index futures are indicating forward motion

Dow futures are UP +0.49% (+123 points) and NASDAQ futures are UP +0.14% (+10 points)

 

U.S. stock index futures rose prior to Tuesday’s open, boosted by a wave of strong corporate earning

European markets traded higher, bouncing back from the weak sentiment seen in the previous session.

Asian stocks advanced, with China outperforming regional markets, as investors kept an eye on bond yields and the falling Chinese yuan.

 

Data docket: The Philadelphia Federal Reserve’s non-manufacturing survey is due out at 8:30 a.m. ET. The U.S. composite purchasing managers’ index (PMI) is also due out at 9:45 a.m. ET, while the Richmond Fed survey of manufacturing activity is expected to be released at 10 a.m. ET.

 

Henry’omics:

Two good Tuesday openers, Eli Lilly also reported better-than-expected earnings. The company said it plans to file an initial public offering for its animal health unit Elanco as well. Shares of Eli Lilly rose more than 4% before the bell. Biogen shares jumped more than 4 percent after reporting earnings and revenue that beat expectations.

 

Today’s indications:

  • The iShares Nasdaq Biotechnology (IBB) is indicating a +0.81% UPSIDE in Tuesday’s pre-market;
  • The SPDR S&P Biotech ETF (XBI) is indicating a +0.57% upside in Tuesday’s pre-market;
  • The Health Care Select Sector SPDR ETF (XLV) is NOT indicating in Tuesday’s pre-open;
  • The iShares Russell 2000 (IWM) is indicating a +0.29% UPSIDE in Tuesday’s pre-open

 

Out and about (continued):

bluebird bio, Inc. (BLUE) has commenced an underwritten public offering of $400 million of its common stock. BLUE also intends to grant the underwriters a 30-day option to purchase up to an additional fifteen percent (15%) of the shares of common stock offered in the public offering.

Goldman Sachs & Co. LLC, BofA Merrill Lynch, J.P. Morgan Securities LLC and Cowen are acting as joint book-running managers and Wells Fargo Securities is acting as co-manager of the proposed offering. The offering is subject to market and other conditions,

 

From Monday’s night’s newsletter: “through the looking glass … Is an allegorical expression of the strange side or the twilight zone as in “our” sector and this market?”

I also stated, “It’s hard some days to stay objective through the ebb and flow as the sector moves backwards.”

The iShares NASDAQ Biotechnology (IBB) was DOWN 0.06% after Friday’s-0.08%, Thursday’s +0.10%, Wednesday’s -0.09% and last Tuesday’s +0.75% … headed to the upside! 

 

I always want to know what happened PRIOR to what might happen today – it sets a tone of consequence!

  • Last week had 3 negative closes, 2 positive sessions and started this week, Monday with a negative session;
  • For the month so far, July has experienced 10 positive closes, 5 negative closes and 1 holiday;
  • Of the 45 companies covered on Monday; 25 downside equities finished in a range of -$0.36 (SAGE) to -$2.94 (SLDB) while the 18 upside equities oscillated from +$0.05 (FATE) to $0.22 (CUR) with 2 flat closes;
  • Monday’s decliners ranged from -0.21% <SAGE -$0.36 > to -6.82% <SLDB -$2.94 > in 25 equities;
  • Monday’s gainers ranged from +0.46% <FATE +$0.05 > to +18.80% < CUR +$0.22> in 18 equities;

 

Companies in my headlights – It’s your decision; I provide the idea and context:

bluebird bio (BLUE) closed down -$3.10 to $177.25 and is down on news of a $400 M offering -$4.01 or -2.26% so far – SELL;

Daily trades of with no short commitment – CUR, CRSP, EDIT and NTLA

BUYs – RGNX and VSTM

 

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.