February 26, 2021 8:00am

The key to this market’s movement is the U.S. Senates’ ability to approve the fiscal aid/stimulus “bill” with out the excess of “pork” inclusions while markets are churned by a sudden spike in bond yields that sent some investors fleeing

Pre-open in 0 BUY and 8 SELLs

Companies mentioned: BSTG, CLBS, CRSP, EDIT, NTLA, MDXG, RARE, SAGE

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

Dow futures are DOWN -0.14% (-41 points), S&P futures are UP +0.21% (+9 points) and NASDAQ futures are UP +0.41% (+53 points)

 

Futures contracts fluctuated on Friday as a rapid rise in bond yields rattled investor sentiment

European stocks retreated as the pan-European Stoxx 600 fell -1% by noon,

Asia-Pacific stocks fell sharply. with MSCI’s index of Asia-Pacific shares outside Japan dropping -3.29%.

 

Data Docket: The momentum that carried stocks to all-time highs earlier this month has met resistance amid a sudden and pronounced rise in bond yields. The rate on the U.S. 10-year Treasury notes briefly soared as high as 1.6% on Thursday before simmering back down to around 1.52%, its highest level since February 2020.

 

Henry’omics:

The ‘skimpy” moves in equity futures came after a negative regular trading session on Thursday.

From the title, “What is the difference between correlation and cause? A correlation between variables, however, does not automatically mean that the change in one variable is the cause of the change in the values of the other variable. Causation indicates that one event is the result of the occurrence of the other event; i.e., there is a causal relationship between the two events.”

 

Coming attractions: earnings’ releases – Monday, 3/1 - Precigen (PGEN), Adverum Biotechnologies (ADVM) and Regenxbio (RGNX); Thursday, 3/4 – Cellectis SA (CLLS)

 

Thursday’s evening’s recap: “the sector’s pricing vomited most upsides during frothy moves. Yesterday’s sector gave, today took it away as volatility raged and fundamentals were frisked and cuffed” … https://www.regmedinvestors.com/articles/11787

  • The Nasdaq closed DOWN -476.53 points (-3.52%);
  • The IBB closed down -2.65% and XBI closed down -4.06%
  • The CBOE Volatility Index (VVIX: INDEX) was up +7.55 points or +35.38% at 28.89
  • Sector volume was LOW with 1 of the 3-upside having higher than the 3-month average volume with the increased volume of 9 of 30-downside having higher than the 3-month average volume;
  • Thursday’s percentage (%) of the 3-upside were +0.44% (RENE.L) to +8.49% (BLUE) while the 30-downside ranges from -1.25% (QURE) to -13.03% (SLDB);

February: 9 positive, 9 negative closes and 1 holiday to date

January: 10 positive, 9 negative closes and 1 holiday

 

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

Maintaining Sell: Questions continue …

Biostage (BSTG) closed down -$0.00 to $1.80 with 3310 shares traded after Wednesday’s -$0.00 with 0 shares traded after Tuesday’s -$0.20 to $1.80 with 4,062 shares traded after Monday’s +$0.145 to $2.00 with 2,094 shares traded and last Friday’s -$0.00 to $1.85 with only 23 shares traded. Reiterating …

Question#1: WHERE is all the money from DST Capital going or even coming FROM – “to pump the public share price”? just think over the past months if those dollars were put into the company coffers, they wouldn’t be cutting back on employees’ salaries – also WHAT did they take PPP funds for or MAYBE a clinical trial would have been initiated?

Question#2: WHAT is the relationship of DST Capital beyond being BSTG’s investor as they are BOTH based in the same offices – together. WHY is Dixintong Technology Group in Beijing, China led by Donghai Lui defining BSTG’s path forward as Hong Yu, BSTG’s president reports to him through Jason Chen, BSTG’s chairman who also reports to him while managing DST Capital, bottom-line his wife’s (Mrs. bin Zhao) money? 

Question#3: Is Biostage (BSTG) a majority Chinese owned through Private Placements and warrants executions with a minority U.S. investors managed from Beijing?

 

Falling Knives:

Caladrius Biosciences (CLBS) closed down -$0.21 to $1.91 after Wednesday’s +$0.25 to $2.12, Tuesday’s $1.87, Monday’s $2.23 and last Friday’s $2.29 with a negative -$0.13 or -6,81% pre-market indication. Earnings’ release was Thursday …

CRISPR Therapeutics (CRSP) closed down again -$6.24 to $127.28 after Wednesday’s -$1.78 to $133.52, Tuesday’s -$3.26 to $135.30, Monday’s $138.56 and last Friday’s $148.98 with a negative -$2.36 or -1.85% pre-market indication.

Editas Medicine (EDIT) closed down -$4.94 to $44.76 after Wednesday’s +$0.56 to $49.70, Tuesday’s $49.14, Monday’s $52.52 and last Friday’s $46.49 with a negative -$0.27 or -0.60% pre-market indication. Earnings’ release was Thursday …

Intellia Therapeutics (NTLA) closed down -$6.25 to $57.47 after Wednesday’s +$0.15 to $63.72, Tuesday’s -$2.59 to $63.57, Monday’s $66.16 with a negative -$0.39 or -0.68% pre-market indication. Earnings’ release was Thursday …

MiMedx (MDXG) closed down -$0.28 to $9.75 after Wednesday’s $10.03, Tuesday’s $9.53, Monday’s $9.98 and last Friday ’s $9.70 with a negative -$0.24 or -2.46% aftermarket indication

Ultragenyx (RARE) closed down -$6.48 to $136.25 after Wednesday’s $142.73, Tuesday’s $140.22, Monday’s $144.69 and last Friday ’s $148.14 with a negative -$1.25 or -0.92% aftermarket indication.

Sage Therapeutics (SAGE) closed down -$1.59 to $83.45 after Wednesday’s $85.04, Tuesday’s $80.24, Monday’s $81.09 and last Friday ’s $82.33 with a negative -1.45 or -1.74% pre-market indication.

 

The BOTTOM LINE: Again, “forewarned … earnings LPS (loss-per-share) season is upon us – my advice, trim and skim … if one can!”

BUY those who have “reported” earnings … it’s STILL all about, the “bouncing ball” of sector momentum.

Many talk of horizons; “as I have said last week, my horizon is usually a Friday’s close …”

 

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.