December 22, 2020 5:37pm
Fiscal aid bill passes with non-sensical amendments
An “intelligence newspaper” for smart investing in the RegMed, gene and cell therapy sector. I track the numbers, so there’s no question re my opinion; so, you can do what others can't.
Pre-open indications: 11 HITs and 0 MISS
Closing explanations on what you need to know for the next session!
The Dow closed DOWN -200.94 points (-0.67%); the S&P closed DOWN -7.66 points (-0.21%) while the Nasdaq closed UP +65.40 points (+0.51%)
Henry’omics:
Indexes were mixed even as Congress passes long-awaited COVID-19 aid bill a.k.a. stimulus deal.
From this a.m.’s Data Docket: the final reading on Q3 gross domestic product came to a growth of 33.4% on an annualized basis, compared to 33.1% expected. Meanwhile, U.S. consumer confidence fell for the second straight month in December and missed expectations.
All-time or 52-week highs:
- Sage Therapeutics (SAGE) reached a 52-week high of $87.62; Sangamo Therapeutics (SMGO) reached an all-time of $17.28, Precigen (PGEN) also reached a 52-week high of $10.43, XBI reached an all-time high of 151.80, Ultragenyx (RARE) reached an all-time high of $170.26.
Hammered in today’s market:
- ReNeuron (RENE.L), Editas Medicine (EDIT), bluebird bio (BLUE), Alnylam Pharmaceuticals (ALNY), Mesoblast (MESO) to name 5 of the 11 declining of the 35 covered
Jumping with share pricing momentum:
- Fate Therapeutics (FATE), CRISPER Therapeutics (CRSP), Ultragenyx (RARE), Sage Therapeutics (SAGE), Ionis Pharmaceuticals IONS) to name 5 of the 23 inclining of the 35 covered
Pre-open indication: 11 HITs < Maintaining SELL: Biostage (BSTG -$0.20); SELL into Strength: Athersys (ATHX -$0.18), bluebird bio (BLUE -$0.55), Cellectis SA (CLLS +$2.42), Homology Medicine (FIXX +$0.49), Precigen (PGEN +$0.54), Sangamo Therapeutics (SGMO +$2.85); BUY: uniQure NV (QURE +$1.17); Any way which way to Play: CRISPR Therapeutics (CRSP +$3.24), Editas Medicine (EDIT-$2.60), Intellia Therapeutics (NTLA +$0.84):
This morning, I stated in this a.m.’s newsletter – RegMed Investors’ (RMi) pre-open: “staying safe is mitigating perceived risk … https://www.regmedinvestors.com/articles/11689
RegMed/Cell and Gene therapy 35 covered equities’ Advance/Decline (A/D) lines: progressions and regressions …
- Tuesday opened positive at 29/5 and 1 flat, stayed positive at the mid-day at 26/8 and 1 flat, closing positive at 23/11 and 1 flat;
- Monday opened negative at 7/24 and 4 flats, stayed negative at the mid-day at 15/18 and 2 flats, closing positive at 23/10 and 2 flats;
Key metrics:
- Sector volume STAYED-UP with 13 of the 23-upside having higher than the 3-month average volume with the increased volume of 5 of 11-downside having higher than the 3-month average volume;
- Tuesday’s percentage (%) of the 23-upside were +1.10% (ADVM) to +18.89% (SGMO) while the 11-downside ranges from -0.19% (BCLI) to -13.29% (BSTG);
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Tuesday, the IBB closed up +0.19% and XBI closed up +0.85%
- Monday, the IBB closed down -0.07% and XBI closed up +1.07%
Tuesday’s (10 of 23) incliners:
- Fate Therapeutics (FATE +$6.89);
- Ultragenyx (RARE +$5.60 after Monday’s -$0.64);
- Sage Therapeutics (SAGE +$3.81 after Monday’s +$2.21);
- Ionis Pharmaceuticals (IONS +$3.25 after Monday’s +$1.01);
- CRISPR Therapeutics (CRSP +$3.24 after Monday’s +$18.23);
- Sangamo Therapeutics (SGMO +$2.85);
- Regenxbio (RGNX +$2.76 after Monday’s +$1.66);
- Cellectis SA (CLLS +$2.42 after Monday’s +$0.92);
- uniQure NV (QURE +$1.17 after Monday’s -$7.44);
- Intellia Therapeutics (NTLA +$0.80 after Monday’s +$7.32);
Tuesday’s (11 of 11) decliner:
- ReNeuron (RENE.L -$3.50);
- Editas Medicine (EDIT -$2.60 after Monday’s +$19.25);
- Alnylam Pharmaceuticals (ALNY-$1.12 after Monday’s -$2.96);
- bluebird bio (-$0.55 after Monday’s +$1.47);
- Mesoblast (MESO -$0.38 after Monday’s -$0.68);
- Solid Bioscience (SLDB -$0.31 after Monday’s -$0.02);
- Voyager Therapeutics (VYGR -$0.25);
- Biostage (BSTG -$0.20);
- Athersys (ATHX -$0.18);
- Applied Genetic Technologies (AGTC -$0.01 after Monday’s -$0.12);
- Brainstorm Cell Therapeutics (BCLI -$0.01 after Monday’s -0.12);
Closing 1 - Stemline Therapeutics (STML – acquired)
Percentage (%) movement/range statistics: a 360 degrees comparison of % and pricing
- Tuesday’s percentage (%) of the 23-upside were +1.10% (ADVM) to +18.89% (SGMO) while the 11-downside ranges from -0.19% (BCLI) to -13.29% (BSTG);
- Monday’s percentage (%) of the 23-upside were +0.40% (GBT) to +29.89% (EDIT) while the 10-downside of -0.27% (SLDB) to -16.19% (QURE);
Sentiment and a few daily indicators:
The market started the holiday week on a sour note as fears about a new variant of Covid-19 in the U.K. emerged. Many European countries implemented travel restrictions on visitors from the U.K. <CNBC>
Finally, Congress provided a $900 billion in long-delayed pandemic aid. The package includes additional jobless benefits, more small business loans, direct payments of $600 and funds to distribute Covid-19 vaccines, among other provisions. President Trump is expected to sign the bill into law in the coming days.
Infection cases <Million>:
- Tuesday 18.16 M cases
- Monday 17.86 M cases
Tuesday’s day’s death rate totaled 322,611 after Monday’s 317,749, Friday’s 311,010, Thursday’s 307,770, Wednesday’s 304,094 and last Tuesday’s 300,723 <Johns Hopkins University>
Stats:
Upside volume:
- Tuesday: 13 out of the 23-upside had higher than the 3-month average volume;
- Monday: 17 out of the 23-upside had higher than the 3-month average volume;
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Tuesday was down -0.93 points or -3.70% at 24.23
- Monday was up +3.59 points or +16.64% at 25.16
Downside volume:
- Tuesday: 5 out of the 11-downside had higher than the 3-month average volume;
- Monday: 5 out of the 10-downside had higher than the 3-month average volume;
December, the 3rd month of Q4 …
Tuesday closed positive with 23 advancers, 11 decliners and 1 flat
Monday (12/23) closed positive with 23 advancers, 10 decliners and 2 flats
Friday closed positive with 21 advancers, 11 decliners and 3 flats
Thursday closed positive with 28 advancers, 5 decliners and 2 flats
Wednesday closed neutral with 16 advancers, 16 decliners and 3 flats
Tuesday closed positive with 20 advancers, 14 decliners and 1 flat
Monday (12/14) closed positive with 23 advancers, 12 decliners and 1 flat
Friday closed negative with 13 advancers, 20 decliners and 2 flats
Thursday closed positive with 22 advancers, 9 decliners and 4 flats
Wednesday closed negative with 10 advancers, 22 decliners and 3 flats
Tuesday closed positive with 19 advancers, 14 decliners and 2 flats
Monday (12/7) closed negative with 14 advancers, 20 decliners and 1 flat
Friday closed positive with 25 advancers, 9 decliners and 2 flats
Thursday closed neutral with 16 advancers, 16 decliners and 3 flats
Wednesday closed positive with 20 advancers, 14 decliners and 1 flat
Tuesday (12/1) closed positive with 20 advancers, 15 decliners and 1 flat
The Bottom Line: Year end is approaching and investors need to de-risk their portfolio … investors could should be taking chips off the table of those who have registered upside gains in 2020.
With less than two weeks left, the S&P 500 is up nearly 14% for the year, while the Dow has gained more than 5%. The Nasdaq has soared more than 41% this year during the pandemic.
My soapbox is still in place as I re-emphasize volatility will remain elevated into the New Year.
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.
