July 24, 2020 8:09am

Yesterday’s unemployment figures wounded market sentiment

Pre-open indications: 4 BUYs and 6 SELLs <more of the Biostage (BSTG) Chronicle>

What I provide is an intelligence daily. Where are the canaries in the sector coal mine, am I the only one? 

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Dow futures are DOWN -0.39% (-103 points), S&P futures are DOWN -0.45% (-15 points) and NASDAQ futures are DOWN -1.05% (-110 points)

 

U.S. stock futures point to a lower open on disappointing unemployment claims figure and an increasing regional infection numbers of the coronavirus;

European markets retreated as diplomatic tensions between the U.S. and China weigh on sentiment as the pan-European Stoxx 600 dropped 2% by mid-morning;

Asia Pacific markets are down, japan is on holiday, tensions between U.S. and China are sapping sentiment as MSCI’s index of Asia-Pacific shares outside Japan lost -1.89%.

 

Henry’omics:

Tensions between the U.S. and China worsened Friday after China ordered the closure of a U.S. consulate in Chengdu, retaliating after Washington shut the Chinese consulate in Houston earlier this week. China markets plunged in response.

Thursday night’s post title - a recap: “redacted, oh expletive deleted”

  • The NASDAQ closed DOWN -244.71 points (-2.29 %);
  • The IBB closed down -1.85% and XBI also closed down -2.02%;
  • Sector volume was LOW with 2 of the 4-upside having higher than the 3-month average volume and 4 out of the 29-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was up +1.76 points or +7.24% at 26.08;
  • Thursday’s percentage (%) were LEAN with the 4-upside were +0.24% (BLFS) to +2.46% (SLDB) while the 29-downside ranged from -0.04% (GBT) to -6.51% (PGEN); 

Q3’s last four (4) sessions: pattern or trend?

  • Thursday closed negative with 4 advancers, 29 decliners and 2 flats
  • Tuesday closed negative with 10 advancers, 24 decliners and 1 flat
  • Monday (7/20) closed positive with 24 advancers, 10 decliners and 1 flat
  • Last Friday closed positive with 24 advancers, 9 decliners and 2 flats

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

Maintaining Sell:

Biostage (BSTG) BSTG’s share pricing SMELLS of STOCK Manipulation an existing pattern on MULTIPLE OCCASIONS that has been going on for MONTHS AND MONTHS.

  • BSTG’s last private round’s pricing at $3.70 has a warrant attached that is the basis of forward and continued funding which has to be supported by a public share pricing - what better a reason?

Is Mrs. Bin Zhou (Weston, Mass) as HEAD of DST Capital and being BSTG’s major shareholder AWARE (?) of these trading patterns and many other internal issues.

  • The actions of other could point the finger at her!

These many actions NEED review to hold accountable the roles of “underlings” who have inhibited the forward motion of the scientific platform?

  • Mrs. Bin Zhou and Jason Chen, BSTG’s board’s chairman were informed in MANY e-mails and individual face-to-face meetings by ME re on-going material events (until May 2020) yet ultimately; Mrs. Bin Zhou has condoned the continuing ethical issues within the company.
  • The Chairman, Jason Chen <oversees the self-inflicted wounds from Beijing, China> and also works for Mrs. Bin Zhou’s husband also in China and the BSTG president is her neighbor in Weston, Mass.  
  • So, where is the OVERSIGHT; SEC and Mass enforcement regulatory agencies need to investigate these recent and past moves! Questions need answers … what exists are serious questions of transparency and ethics.

Next, we (that’s plural) will get into the financial and audit group processfollowed by the IND regulatory filing!

 

SELL into Strength:

Adverum Biotechnologies (ADVM) closed up +$0.60 to $17.38 after Tuesday’s +$16.78 and Monday’s $17.38 with a 52-week high of $21.18 and low of $7.37. chart looks “peaky” and has a negative -$0.26 or -1.50% aftermarket indication;

Brainstorm Cell Therapeutics (BCLI) closed up +$0.08 to $15.83 after Wednesday’s +$0.21 ($15.75) after Tuesday’s +$0.07 ($15.54) and Monday’s +$0.89 ($15.47) and has a negative -$0.11 or -0.69% aftermarket indication

Cellectis SA (CLLS) closed +$1.12 to $16.75 after Wednesday’s $17.19, Tuesday’s $17.18 and Monday’s $17.93 but, has a negative -$0.25 or -1.49% aftermarket indication;

CRISPR Therapeutics (CRSP) closed down -$2.17 to $90.80 after Wednesday’s $92.97, Tuesday’s $93.55 and Monday’s +$95.30 and last Friday’s $91.32. CRSP has a negative -$0.80 or -0.88% aftermarket indication;

SELL:

Mesoblast (MESO) closed down -$0.12 to $12.32 after Wednesday’s $12.44, Tuesday’s $12.30, Monday’s $11.98 and last Friday’s $11.61 and has a negative -$0.22 or -1.79% aftermarket indication

BUY:

Applied Genetic Technologies (AGTC) closed down -$0.26 to $5.79 after Wednesday’s $6.05, Tuesday’s $5.85 and Monday’s $6.01 and has a positive +$0.10 or +1.73% aftermarket indication.

Editas Medicine (EDIT) closed up +$0.13 to $30.33 after Wednesday’s -$0.12 ($30.20), Tuesday’s $30.32, Monday’s $32.56 and last Friday’s $32.23 but, has a positive +$0.52 or +1.71% aftermarket indication;

Homology Medicine (FIXX) closed down -$0.74 to $15.30 after Wednesday’s $16.04, Tuesday’s $16.48, Monday’s $16.47 and last Friday’s $15.24 and has a positive +$0.40 or +2.61% aftermarket indication;

uniQure NV (QURE) closed down -$1.48 to $40.71 after Wednesday’s $42.20, Tuesday’s $43.24, Monday’s $43.65 and last Friday’s $43.95 and has a positive +0.29 or +0.71% aftermarket indication

 

 

The BOTTOM LINE: COVID-19, coronavirus, China virus or the Wuhan virus is far from finished exacting its toll on our person, families, neighbors, states, regions and finally our economy – our way of life will never be the same.

The stimulus bill is NOT the ultimate answer to what ails Americans; we are feeling left to our own devices feeling the awkwardness of even going to a store.  There are day’s I don’t give a damn of the pain of stalled re-openings but,  renewed shutdowns affect me personally.  Yet to ME, the ability to see my brothers and sisters (a huge family) my own children and grandchildren with one a new addition who I haven’t been able to visit… weights more heavily.

We make money by NOT following market leads, or headlines as they get sold into – even our markets are aligned with a roller-coaster mentality! Stocks are not racing higher like they were in March, April, and May, but share pricings are getting bent more especially in “our” universe of RegMed, cell and gene therapy.

Q2 sector results should start appearing in the first week of August … AxoGen (AXGN), Ionis Pharmaceuticals (IONS) on 8/5, before Alnylam Pharmaceuticals (ALNY) and Editas medicine (EDIT) on 8/6 before Athersys (ATHX), Vericel (VCEL), Ionis Pharmaceuticals (IONS) and Sage Therapeutics (SAGE) on 8/10.

What will be the same? NOTHING … LPS (loss-per-share) will be the theme of the earnings’ season.

 

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.