June 26, 2020 7:57pm

Rising daily rates of new U.S. coronavirus cases all week cast a dark cloud as overextended optimism added to deteriorating sentiment

Pre-open indications 9 HITs and 3 MISS

The Week in review …

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The Dow closed DOWN -730.05 points (-2.84%), the S&P closed DOWN -74.71 points (-2.42%) while the NASDAQ closed DOWN -259.78 points (-2.59%)

 

Pre-open indication results: 9 HITs < Biostage (BSTG -$0.01), Adverum Biotechnologies (ADVM -$4.37), Brainstorm Cell Therapeutics (BCLI +$0.94), Alnylam Pharmaceuticals (ALNY -$4.54), Editas Medicine (EDIT -$2.49), Fate Therapeutics (FATE -$1.42), Pluristem (PSTI -$0.31), Regenxbio (RGNX -$0.35), ReNeuron (RENE.L -$0.00)> and 3 MISS < Cellectis SA (CLLS -$0.44), Athersys (ATHX +$0.01), uniQure NV (QURE -$2.74)>

 

Henry’omics:

Indexes rolled after Texas reversed some of its reopening measures, raising concern about the latest spike in coronavirus cases and its impact on the economy.

“Texas ordered all bars and establishments that receive more than 51% of their gross receipts from alcoholic beverages to shut down operations. Restaurants, meanwhile, must limit on-premise dining to less than 50% indoor capacity. “At this time, it is clear that the rise in cases is largely driven by certain types of activities, including Texans congregating in bars,” Texas Gov. Greg Abbott said.” <CNBC>

Today was the second weekly drop in three weeks. The Dow fell -3.3% and the S&P 500 declined 2.9% for the week and the Nasdaq lost 1.9% in the same time period.

From my Data Docket - The Commerce Department reported Friday that spending increased 8.2% last month, a positive sign for the U.S. economy amid a growing number of negative coronavirus headlines.

 

RegMed/Cell and Gene therapy 35 covered equities’ Advance/Decline (A/D) lines: progressions and regressions …

  • Friday opened negative at 13/19 and 3 flats, stayed negative at the mid-day at 5/27 and 3 flats, closing negative at 4/29 and 2 flats;
  • Thursday opened positive at 17/14 and 4 flats, stayed positive at the mid-day at 26/8 and 1 flat, closing positive at 25/8 and 2 flats;
  • Wednesday opened negative at 8/24 and 3 flats, stayed negative at the mid-day at 8/724 and 3 flats, closing negative at 9/24 and 2 flats;
  • Tuesday opened positive at 25/8 and 2 flats, stayed positive at the mid-day at 25/7 and 3 flats, closing positive at 20/11 and 4 flats;
  • Monday opened negative at 22/10 and 3 flats, strayed positive at the mid-day at 20/12 and 3 flats, closing positive at 24/8 and 3 flats;

 

Key metrics:

  • Sector volume INCREASED with 3 out of the 4-upside having higher than the 3-month average volume and 15 out of the 29-downside having higher than the 3-month average volume;
  • Friday’s percentage (%) of the 4-upside were +0.35% (ATHX) to +8.02% (BCLI) while the 29-downside ranged from -0.40% (BSTG) to -18.74% (ADVM); 

 

Hammered in today’s market:

  • Alnylam Pharmaceuticals (ALNY), Adverum Biotechnologies (ADVM), Editas Medicine (EDIT), uniQure NV (QURE) and CRISPR Therapeutics (CRSP) to name a few the 29 tripping down of the 35 covered

Jumping with share pricing momentum:

  • Brainstorm Cell Therapeutics (BCLI), Global Blood Therapeutics (GBT), Precigen (PGEN), Athersys (ATHX) to name 4 of the 4 trading up of 35 covered

 

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Friday, the IBB closed down -2% and XBI also closed down -3.28%
  • Thursday, the IBB closed up +1.11% and XBI also closed up +2.47%
  • Wednesday, the IBB closed down -1.62% and XBI also closed down -2.05%
  • Tuesday, the IBB closed up +0.38% and XBI also closed up +1.54%
  • Monday, the IBB closed up +0.20% and XBI also closed up +2.94%

 

Friday’s (4 of 4) incliners:

  • Brainstorm Cell Therapeutics (BCLI +$0.94 after Thursday’s +1.36);
  • Global Blood Therapeutics (GBT +$0.13 after Thursday’s +$0.85 and Wednesday’s -$2.75);
  • Precigen (PGEN +$0.045 after Thursday’s -$0.195, Wednesday’s +$0.19 and Tuesday’s -$0.54);
  • Athersys (+$0.01);

Friday’s (bottom 11 of 29) decliners:

  • Alnylam Pharmaceuticals (ALNY -$4.54 after Thursday’s +$4.68);
  • Adverum Biotechnologies (ADVM -$4.37 after Thursday’s -$0.59 and Wednesday’s -$1.73);
  • uniQure NV (QURE -$2.74 after Thursday’s -$13.69, Wednesday’s -$4.83, Tuesday’s +$1.09 and Monday’s -$0.13);
  • Editas Medicine (EDIT -$2.49);
  • CRISPR Therapeutics (CRSP -$2.01 after Thursday’s +$2.96, Wednesday’s -$2.28, Tuesday’s +$3.35 and Monday’s +$2.94);
  • bluebird bio (BLUE -$1.45 after Thursday’s -$1.27, Wednesday’s -$1.28 and Tuesday’s -$0.58);
  • Fate Therapeutics (FATE -$1.42 after Thursday’s +$2.13);
  • Voyager therapeutics (VYGR -$1.16);
  • Intellia Therapeutics (NTLA -$0.98 after Thursday’s -$0.10);
  • Ionis Pharmaceuticals (IONS -$0.96 after Thursday’s +$1.95, Wednesday’s +$1.28 and Tuesday’s -$1.52);
  •  
  • Biostage (BSTG -$0.01 after Thursday’s -$0.27 after Wednesday’s +$0.29) – we are NOT stopping!

Closing flat: 2 –ReNeuron (RENE.L) and Stemline Therapeutics (STML – being acquired)

 

Percentage (%) movement/range statistics: look closely … notice percentage (%) movements are declining

  • Friday’s percentage (%) of the 4-upside were +0.35% (ATHX) to +8.02% (BCLI) while the 29-downside ranged from -0.40% (BSTG) to -18.74% (ADVM); 
  • Thursday’s percentage (%) of the 25-upside were +0.43% (MESO) to +29.73% (ATHX) while the 8-downside ranged from -0.10% (NTLA) to -21.76% (QURE) on news of an offering; 
  • Wednesday’s percentage (%) of the 9-upside were +0.55% (CLBS) to +11.60% (BSTG +$0.29) while the 24-downside ranged from -0.05% (ALNY) to -10.51% (EDIT) on news of an offering; 
  • Tuesday’s percentage (%) of the 20-upside were +0.04% (ADVM) to +6.38% (AXGN) while the 11-downside ranged from -0.76% (ALNY) to -10.84% (MESO); 
  • Monday’s percentage (%) of the 24-upside were +0.65% (FIXX) to +25.38% (ATHX) while the 8-downside ranged from -0.19% (QURE) to -5.69% (MESO); 

 

Sentiment and a few daily indicators:

U.S. stock indexes closed at their lowest levels in about two weeks Friday, after Texas and Florida were forced to backtrack on reopening their economies as coronavirus cases rose further and a record number of new cases were reported nationwide. <MarketWatch>

  • Investors were shaken by the Fed’s bank stress tests which resulted in a cap on dividends and stock buybacks.

The number of confirmed U.S. coronavirus cases: every day I get sadder as I post these numbers …

  • Friday 2.42 million
  • Thursday 2.38 million
  • Wednesday 2.36 million
  • Tuesday 2.31 million
  • Monday 2.28 million

Friday’s death rate totaled 124,468 after Thursday’s 121,979, Wednesday’s 121,662, Tuesday’s 120,402 and Monday’s 120.440 <Johns Hopkins University>

 

Upside volume stats: 

  • Friday: 3 out of the 4-upside had higher than the 3-month average volume;
  • Thursday: 10 out of the 25-upside had higher than the 3-month average volume;
  • Wednesday: 3 out of the 9-upside had higher than the 3-month average volume;
  • Tuesday: 8 out of the 20-upside had higher than the 3-month average volume;
  • Monday: 13 out of the 24-upside had higher than the 3-month average volume;

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Friday was up +2.51 points or +7.79% at 34.73;
  • Thursday was down -1.62 points or -4.79% at 32.22;
  • Wednesday was up +2.47 points or +7.87% at 33.84;
  • Tuesday was down -0.40 points or -1.26% at 31.37;
  • Monday was down -3.35 points or -9.54% at 31.77;
  • Friday was up +2.18 points or +6.62% at 35.12;

Downside volume stats:

  • Friday: 15 out of the 29-downside had higher than the 3-month average volume;
  • Thursday: 1 out of the 8-downside had higher than the 3-month average volume;
  • Wednesday: 8 out of the 24-downside had higher than the 3-month average volume;
  • Tuesday: 7 out of the 11-downside had higher than the 3-month average volume;
  • Monday: 2 out of the 8-downside had higher than the 3-month average volume;

 

June

Friday closed negative with 4 advancers, 29 decliners and 2 flats

Thursday closed positive with 25 advancers, 8 decliners and 2 flats

Wednesday closed negative with 9 advancers, 24 decliners and 2 flats

Tuesday closed positive with 20 advancers, 11 decliners and 4 flats

Monday closed positive with 24 advancers, 8 decliners and 3 flats

Friday closed positive with 18 advancers, 13 decliners and 4 flats

Thursday closed positive with 20 advancers, 13 decliners and 2 flats

Wednesday closed negative with 13 advancers, 21 decliners and 1 flat

Tuesday closed positive with 23 advancers, 8 decliners and 4 flats

Monday (6/15) closed positive with 28 advancers, 5 decliners and 2 flats

Friday closed positive with 25 advancers, 8 decliners and 2 flats

Thursday closed negative with 2 advancers, 31 decliners and 2 flats

Wednesday closed negative with 15 advancers, 17 decliners and 3 flats

Tuesday closed negative with 14 advancers, 19 decliners and 2 flats

Monday (6/8) closed positive with 22 advancers, 9 decliners and 4 flats

Friday closed negative with 16 advancers, 19 decliners and 0 flat

Thursday closed negative with 5 advancers, 30 decliners and 0 flat

Wednesday closed negative with 9 advancers, 25 decliners and 1 flat

Tuesday closed positive with 21 advancers, 13 decliners and 1 flat

Monday (6/1) positive with 23 advancers,10 decliners and 2 flats

 

The Bottom line:  The recovery from the March lows has paused, reversed from optimistic exhaustion.

Sector share pricing is and has been threatened by anything that jeopardizes markets and ultimately, the economic recovery.

Again, and again, it’s a tug-of-war between sentiment and the virus.

Another, I told you so … SELL into strength every time you see and feel new highs!!

As far as MY Biostage (BSTG) reporting is concerned their orders come from BSTG’s Chairman Jason Chen who lives in Beijing, China and their major shareholder Mrs. bin Zhou (of DST Capital) from Weston, Mass - isn’t it time to understand the REAL issues in the company?

Facts are irrefutable and the First Amendment of free speech is the LAW of this land, the United States. MUCH more to follow in on-going sagas in the Biostage (BSTG) Chronicles.

 

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.