March 25, 2019 8:26am

The oversold should rise but, futures are struggling after worries of a slowing global economy hit stocks on Friday

Attorney General Barr issued a finding’s summary of Special Prosecutor Mueller’s NO collusion or obstruction report which should relieve polarization of undercurrents in markets

Pre-open indication: BUY

News: Mesoblast (MESO; ASX:MSB) today announced its licensee in Japan, JCR Pharmaceuticals Co. Ltd., has filed to extend marketing approval of TEMCELL®1 HS Inj. for use in patients with Epidermolysis Bullosa (EB). TEMCELL is already approved for the treatment of acute graft versus host disease (aGVHD), and was the first allogeneic cellular medicine to receive full regulatory approval in Japan.

 

My focuses is indication analysis. An indication can be a development of almost any kind. Specifically, it may be a confirmed fact, a possible fact, or an absence of “something”, a fragment of information or even an observation!

 

My blend of two styles - “quantamental” has become common parlance among investors and traders.

 

Dow futures are DOWN -0.29% (-73 points), S&P futures are DOWN -0.29% (-9 points) and NASDAQ futures are DOWN -0.54% (-37 points)

 

Stock futures traded mostly lower early Monday as concerns over the outlook for the global economy weighed on investor sentiment;

European stocks slide amid growing recession worries;

Asian stocks plummet amid recession fears; Japan falls around 3%

 

Data docket: the Dallas Fed manufacturing numbers will be out at 10.30 a.m. ET.

 

Monday’s indications in the pre-market:

The iShares Nasdaq Biotechnology (IBB) is indicating a NEGATIVE -0.4% DOWNSIDE;

The SPDR S&P Biotech ETF (XBI) is indicating a NEGATIVE -0.24% DOWNSIDE;

The Health Care Select Sector SPDR ETF (XLV) is indicating a NEGATIVE -0.08% DOWNSIDE;

The iShares Russell 2000 (IWM) is indicating a POSITIVE +0.15% UPSIDE;

 

News: Mesoblast (MESO; ASX: MSB) licensee in Japan, JCR Pharmaceuticals Co. Ltd., has filed to extend marketing approval of TEMCELL®1 HS Inj. for use in patients with Epidermolysis Bullosa (EB).

  • The parties have amended their License Agreement in order for JCR to access Mesoblast’s mesenchymal stem cell (MSC) wound healing patents to enable it to develop and commercialize TEMCELL for EB. Mesoblast will receive royalties on TEMCELL product sales for EB.
  • JCR has received Orphan Designation for TEMCELL in the treatment of EB based on promising results from an investigator-initiated trial at Osaka University Hospital where TEMCELL was subcutaneously administered. JCR also intends to seek a label extension for TEMCELL in Japan for intravenous delivery of TEMCELL.

Mesoblast will have access to clinical data generated by JCR in Japan to support development and commercialization of its MSC product candidate remestemcel-L in markets outside Japan for EB and other wound healing applications. Mesoblast plans to file for United States FDA regulatory approval of remestemcel-L shortly for the treatment of aGVHD.

 

Henry’omics:

Market jitters grow over increasing signs of slowing economic growth and a possible recession.

The sector and market had a bumpy Friday; the S&P 500 was down 1.9%, the Dow was down 1.8%, and the NASDAQ was down 2.5%.

From Friday’s closing bell post, “Investors were cleaned-out by today’s action … 40 of 45 covered companies didn’t pay-off with the IBB closing down -3.39%. Algorithms, algorithms compute me your “rules”.”

  • Range of the 2 upside was +1.73% (BCLI) to +3.33% (MDXG) while the 40 downside ranged from -0.24% (ONCE) to -9.29% (SGMO).
  • 1 out of the 2 upside had higher (than the 3 month average) volume
  • 17 out of the 40 downside experienced greater volume (than the 3 month average)
  • In March’s 16 sessions, there were 6 negative and 10 positive closes;
  • In the last five (5) sessions, the IBB has been down -5.42% - there should be an upswing coming.

 

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

 

Oversold, there are many … yet, for the lack of news – any momentum will be based on trading and sentiment which is considered a glass half full or half empty!

 

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.