December 3, 2020 8:19am

Stimulus is a Game of Thrones – California versus Washington, DC, Senate versus House, Republicans versus Democrats and Pelosi versus Mnuchin, jobless benefits versus state and local relief

Pre-open indications: 6 BUY and 5 SELLs

What I provide is an “intelligence daily” to ensure that shareholders are kept apprised based on a 24-hour surveillance of “our” universe, the RegMed/cell and gene therapy sector and its surrounding markets

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Dow futures are UP +0.01% (+3 points), S&P futures are UP +0.02% (-1 point) and NASDAQ futures are UP +0.29% (+36 points)

 

U.S. stock futures were fluctuating on Thursday as investors await news on stimulus negotiations and the vaccine approval process;

European markets are following the lackluster trading trend seen elsewhere overnight as the Stoxx 600 inched 0.2% below the flatline by late morning;

Asia-Pacific markets were little changed as investors reacted to the release of a private survey on China’s services sector activity; The Caixin/Markit services Purchasing Managers’ Index for November came in at 57.8, rising from October’s reading of 56.8. PMI readings above the 50 mark signify expansion.

 

Data Docket: initial claims data will give investors a final reading on the job market before Friday’s major jobs report. Economists expect 780,000 new jobless claims, roughly unchanged from the prior week.

 

Henry’omics:

Don’t count on the stimulus news to be without drama as Democrats reach and Republicans turn.

Las night, although one agreement, unanimously passed a House of Representatives bill that would require Chinese companies to adhere to U.S. auditing standards if they want their stocks to be to be listed on exchanges in the United States. The bill now goes to President Trump, who is expected sign it into law.

  • Watch out Biostage (BSTG) …

 

An Update: RegMed/Cell and Gene Therapy Earnings Scorecard Q3/20 LPS Results https://www.regmedinvestors.com/articles/11628     

 

Wednesday’s night’s recap: RegMed Investors’ (RMi) closing bell: “the sector rises like a phoenix as stimulus talks walk to the upside” … https://www.regmedinvestors.com/articles/11660

  • The Nasdaq closed DOWN -5.74 points (-0.05%);
  • The IBB closed down -0.23% and XBI closed down -0.09%;
  • Sector volume was LOW with 9 of the 20-upside having higher than the 3-month average volume with the increased volume of 5 of 14-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was up +0.40 points or +1.93% at 21.17;
  • Wednesday’s percentage (%) of the 20-upside were +0.15% (MDXG) to +15.33% (CLBS) while the 14-downside ranges from -0.51% (FIXX) to -7.06% (GBT);

Q4’s: December 1st day

  • Q4’s December, so far: 2 positive closes
  • Q4’s November: 16 positive and 3 negative closes
  • Q4’s October: 1 neutral, 11 positives with 1 negative closes
  • Q3: July through September: 1 neutral, 28 positive and 34 negative closes with 2 holidays

 

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

Maintaining Sell:

Biostage (BSTG) closed down -$0.01 to $1.36 with 8,574 shares traded after Tuesday’s +$0.01 to $1.36 with 902 shares traded after Monday’s -$0.01 to $1.35 with 1,575 shares traded, Friday’s -0.04 to $1.36 with 1,200 shares traded;

  • Question#1: On May 1, 2020, BSTG entered into a promissory note with Bank of America, NA (Bank), which provides for a loan in the amount of $404,221 (PPP Loan) pursuant to the Paycheck Protection Program (PPP) of the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) administered by the U.S. Small Business Administration (SBA) - WHAT is the reasoning behind possible or not FOREGIVENESS which depends on maintaining or rehiring employees and maintaining (they were cutting) salary levels … for WHOM is LEFT?

Maintaining SELL into Strength:

Fate Therapeutics (FATE) closed up again +$0.31 to $60.53 after Tuesday’s +$1.76 to $60.22, Monday’s +$0.55 to $58.47 and last Friday’s $57.92, A 52-week change of +324.08% and a short percentage (%) of float of -22.79%, There’s “room” to profit with a NEGATIVE -$0.21 or -0.34% aftermarket indication;

CRISPR Therapeutics (CRSP) closed up again +$1.96 to $131.54 after Tuesday’s +$2.26 to $129.58, Monday’s $126.92 and last Friday’s $121.55, with a POSITIVE +$1.45 or +1.10% aftermarket indication;

Intellia Therapeutics (NTLA) closed up +$2.98 to $41.08 after an offering priced at $36.50 and has a NEGATIVE -$0.41 or -1% aftermarket indication;

 

BUY:

Applied Genetic Technologies (AGTC) closed up +$0.18 to $5.00 after Tuesday’s $4.82, Monday’s $4.44 and last Friday’s $4.34 with a POSITIVE +$0.10 or +2% aftermarket indication;

bluebird bio (BLUE) closed up +$0.32 to $46.19 after Tuesday’s $45.87, Monday’s $44.09 and Friday’s $44.06 with a POSITIVE +$0.15 or +0.32% aftermarket indication

Editas Medicine (EDIT) closed down -$0.34 to $31.56 after Tuesday’s $31.90 and Monday’s $30.59 with a POSITIVE +$0.09 or +0.295 aftermarket indication;

Global Blood Therapeutics (GBT) closed down -$3.40 to $44.78 after Tuesday’s +$2.27 to $48.18, Monday’s +$1.01 to $45.91 and last Friday’s +$44.90 and has a POSITIVE +$0.28 or +0.63% aftermarket indication;

Mesoblast (MESO) closed up +$0.03 to $15.12 after Monday’s +$0.16 to $15.09, Friday’s +$14.93, Thursday’s holiday and last Wednesday’s $16.74 and has a POSITIVE +$0.11 or +0.69% aftermarket indication;

Sage Therapeutics (SAGE) closed down -$4.07 to $68.57, after Tuesday’s $72.64 and Monday’s $74.09 with a POSITIVE +$1.71 or +2.50% aftermarket indication;

 

SELL:

Caladrius Biosciences (CLBS) closed up +$0.23 to $1.73 after Tuesday’s $1.50 and Monday’s $1.52 with a NEGATIVE -$0.06 or -3.47%;

 

The BOTTOM LINE: This a hit-and-run ‘sort” of market; there is nothing truly predictable. To many unknowns in a fickle market as optimism is NOT a quantifiable factor just as sentiment is a feeling.

 

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.