November 5, 2019 9:20am
Frying in the earnings’ “skillet” includes: Vericel VCEL), Regenxbio (RGNX), Fate Therapeutics (FATE) and Ultragenyx (RARE)
In this period, one sees what one wants to see or buys – oversold jellyfish; who buys something that stings?
When you’re on a roller coaster, the only thing you can be sure of is you’ll end up back where you started …
My version of the morning’s numbers is written to be informative than just about changes to fundamentals; it’s what happened or will beyond the headline and what could happen to the future
Dow futures are UP +0.33% (+89 points), S&P futures are UP +0.24% (+7 points) and NASDAQ futures are UP +0.26% (+21 points)
Futures are driving equities skyward and markets were set to open higher;
European markets edged higher with the pan-European Stoxx 600 climbing +0.15% shortly after noon London time,
Asia pacific stocks rose after record closes overnight as Japan led the region following a return from a Monday holiday.
Data Docket: September balance of trade, import and export figures are due for release at 9:30 a.m. ET before November Redbook data at 9:55 a.m. ET. Composite and services PMI (purchasing managers’ index) numbers for October are expected at 10:45 a.m. ET, followed by non-manufacturing PMI and a host of other non-manufacturing figures at 11: a.m. ET.
Stocks were set to open higher on Tuesday, following a record close in the previous session, as investors grew more bullish on a potential U.S.-China trade deal as both sides consider more rollbacks on tariffs.
A private survey of China’s services sector showed activity slowing to an eight month low in October. The Caixin/Markit services Purchasing Managers’ Index (PMI) for October came in at 51.1 — its lowest reading since February <CNBC>>
The key to earnings’ season share pricing, expect the downward sloping of the shares pre and post the release,; however, as more companies divine their expected future through conference calls there should be an “awakening” after many choose who’s back to jump on to drive up to be overbought – the old frog and scorpion tale!
Monday night’s newsletter heading: “the market rips, the sector dips on the second session of November; Monday, the sector swooned after Friday’s rocketing on first day of month. The “tourist” trade is in full swing pre the four (4) earnings hit the news wire tomorrow with a full complement for the week.”
- The NASDAQ closed UP +46.80 points (+0.56%);
- The IBB closed down -0.35% while the XBI closed down -0.53% after Friday the IBB closed up +2.34% while the XBI closed up +2.49%;
- Monday the close was negative with an A/D line of 18/22, 2 flats, 1 reversed merged (HSGX) and 2 acquired after Friday’s close was positive with an A/D line of 33/7, 2 flats, 1 reversed merged (HSGX) and 2 acquired;
- The range of the 18 upside was +0.09% (ONCE) to +19.63% (BLCM) while the 29 downside ranged from -0.07% (BMRN) to -16.94% (CUR);
- 1 out of the 19 upside had higher than the 3 month average volume;
- 1 out of the 22 downside had higher than the 3 month average volume;
- November opened with 1 positive and 1 negative close
- October registered 10 positive, 1 neutral and 14 negative closes
- September, there were 1 holiday, 11 negative, 7 positive and 2 non reported sessions;
Companies in my headlights – It’s your decision; I provide an idea and context:
*** I can’t change my “tune” … be mindful of upcoming quarterly results and their effect upon share pricing … BUY and get trampled in the coming sessions or SELL into strength or just HOLD and wait to resolve relieve the earnings estimates and expectation anxiety.
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.