December 18, 2020 8:02am

All three indexes documented record highs as optimism of vaccines and fiscal aid hopes prevailed

Pre-open indications: 8 SELLs

News:  BrainStorm Cell Therapeutics (BCLI) announced that all dosing has been completed in the ongoing P2 trial evaluating NurOwn® (MSC-NTF cells) as a treatment for progressive MS. The P2 is being conducted at five clinical trial sites in the U.S. A POSITIVE +$0.20 or +3.85% pre-market indication.

What I provide is a trusted source of share pricing intelligence that ensures that investors are kept apprised of “our” universe, the RegMed/cell and gene therapy sector and its surrounding markets

A pre-open briefing on what you need to know in the session ahead!

Dow futures are up +0.04% (+11 points), S&P futures are UP +0.13% (+5 points) and NASDAQ futures are UP +0.10% (+13 points)

 

Stock futures were little changed early Friday after the major averages closed at new all-time highs;

European markets mixed as British and European leaders strike pessimistic tones about the prospect of agreeing to a post-Brexit trade deal;

Asia-Pacific markets were mostly lower as investors reacted to developments from the Bank of Japan; who announced a six-month extension of its special program aimed at easing corporate financing pressures amid the coronavirus pandemic.

 

Data Docket: Current Account Balance, 3Q (-$187.4 billion expected, -$170.5 billion during 2Q)

 

Henry’omics:

Good news, another vaccine candidate was overwhelmingly FDA approved backing Moderna’s (MNRA) COVID-19 vaccine, next step public distribution.

Supposedly, political leaders are close to an agreement that would provide $900 billion in additional aid. The talks, which have stretched on for months, and are up against the wire, with federal funding lapsing at 12:01 a.m. ET on Saturday.

Economic damage from jobless claims totaled 885,000 last week and hit its highest level since early September, coming in above the expected print of 808,000. Retail sales falling 1.1% in November, larger than the 0.3% decline expected by economists. Also, the government could face a risk of a shutdown – which is WHY I question WHAT is sustainable.

 

Thursday’s night’s recap: RegMed Investors’ (RMi) closing bell:” FDA backs Moderna (MNRA) vaccine authorization, daily sector recovery happens. We are still in a bubble mask-based environment” …  https://www.regmedinvestors.com/articles/11684

  • The Nasdaq closed UP +106.56points 0.84%);
  • The IBB closed up +1.43% and XBI closed up +1.47%
  • Sector volume STAYED UP with 13 of the 28-upside having higher than the 3-month average volume with the increased volume of 3 of 5-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was down -0.57 points or -2.53% at 21.93;
  • Thursday’s percentage (%) of the 28-upside were +0.20% (FATE) to +24.07% (SLDB) while the 5-downside ranges from -0.23% (VYGR) to -3.16% (CLLS);

Q4:

  • Q4’s December, so far: 2 neutral, 3 negative and 8 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 up +$0.08 to $1.48 with 3,593 shares traded after Wednesday’s -$0.0285 to $1.39with 786 shares traded, Tuesday’s +$0.06 to $1.42 with 3,122 shares traded, Monday’s +$0.01 to $1.36 with 545 shares traded and last Friday’s flat at $1.35 with 83 shares traded.

  • Question#1: WHAT is DST Capital’s connection and relationships with Dixintong Technology Group, whose parent company, D. Phone, is one of the largest smartphone retailers in China and its chairman, LIU Dong-hai?
  • Question#2” WHY in many meetings with Shunfu Hu, director of business development and operations did he … so fear LIU Dong-hai’s control and shut-down of Biostage?

 

SELL into Strength:

Adverum Pharmaceuticals (ADVM) closed up +$0.38 to $12.71 after Wednesday’s $12.33, Tuesday’s $13.42 and Monday’s $14.01 and last Friday’s $12.95 with a NEGATIVE -$0.02 or -0.16% aftermarket indication;

Brainstorm Cell Therapeutics (BCLI) closed up +$0.11 to $5.19 and has a POSITIVE +$0.20 or +3.85% pre-market indication on news of that all dosing has been completed in the ongoing P2 trial evaluating NurOwn® (MSC-NTF cells) as a treatment for progressive MS. The P2 open-label clinical trial of repeat-dosing CSF-delivered autologous MSC-NTF cells are being conducted at five (5) clinical trial sites in the United States. Topline clinical trial results expected by the end of the first quarter 2021

Precigen (PGEN) closed up $0.70 to $8.19 after Wednesday’s $7.49, Tuesday’s $7.17 and Monday’s $9.23 and last Friday’s $8.27 with a NEGATIVE -$0.04 or -0.49% aftermarket indication;

Homology Medicine (FIXX) closed up +$0.25 to $11.74 after Tuesday’s $11.49 and Monday’s $11.23 and last Friday’s $11.97 with a NEGATIVE -$0.05 or -0.43% aftermarket indication;

Mesoblast (MESO) closed flat at $13.57 and has a NEGATIVE -$3.97 or -29.26% pre-market indication; notably, the trial has not yet accrued data on the secondary endpoints, which include days alive off mechanical ventilation at 60 days post randomization, overall survival, days in intensive care, duration of hospitalization, and cardiac, neurological, and pulmonary organ damage.

MiMedx (MDXG) closed up +$1.47 to $9.30 after Wednesday’s $7.83, Tuesday’s $6.58, Monday’s $6.50 and last Friday’s $5.94 with a NEGATIVE -$0.30 or -3.23% aftermarket indication;

Sage Therapeutics (SAGE) closed up +$2.11 to $76.63 after Wednesday’s $74.52, Tuesday’s $71.87, Monday’s $70.68 and last Friday’s $60.94 with a NEGATIVE -$0.13 or -0.17% aftermarket indication;

 

 

The BOTTOM LINE: Caution is STILL warranted; as I have been saying, “a storm is coming” – fiscal aid or stimulus is NOT the total answer, the market “has gotten ahead of its skis”.

Reiterating, “I am NOT always the naysayer as contrarian thinking that realizes foresight can perceive hidden opportunities and seize them at just the right moment.”

 

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.