September 19, 2022 8:21am

Fed meeting this week

Indications: 4 Positive Indication, 4 Negative Indications and 1 Pump/Promote (BSTG – the usual suspect)

RMi outlines a daily bell ringing of “indications” about what you need to know; it’s what could happen or materialize after the opening and what might happen during the session.

More frequently right than consequentially wrong; there is VALUE out there. What I provide is an intelligence daily.

The 8:30 A.M., ET edition

Remember that overnight and pre-open actions in futures don't necessarily translate into actual trading in the coming day’s session.

 

Dow futures are DOWN -0.80 or (-246 points), S&P futures are DOWN -0.85% (-35 points) and NASDAQ futures are DOWN -0.91% (-190 points) early in the pre-open – so far,

 

Stock futures pointed to losses and a negative open on Monday

European markets were low; the U.K.’s FTSE 100 is closed Monday to mark the funeral of Queen Elizabeth II, due to begin 11 a.m. London time.

Asia-Pacific markets fell; Japan’s market was closed for a holiday while the People’s Bank of China cut its 14-day reverse repo rates.

 

Henry’omics:

Indexes fell Friday heading toward a big losing week, and traders absorbed an ugly earnings warning from FedEx about the global economy. The three (3) major averages notched their fourth (4th) losing week in five (5).

The Dow closed DOWN -139.40 points (-0.45%) the S&P closed DOWN -28.02 points (-0.72%) while the Nasdaq closed DOWN -103.95 points (-0.90%)

Investors are focused on the Fed’s two-day meeting which will begin Tuesday and Powell will give his post-meeting comments at 2:30 p.m. ET., which will begin Tuesday. The central bank is expected to raise interest rates by 75 basis points in November, followed by 25 or 50 basis points in December. That would push the fed funds target rate to either 4%-4.25% or 4.25%-4.5%, vs. expectations of 3.75%-4% before the CPI report.

Economic Data Docket: August housing starts on Tuesday and initial jobless claims on Thursday.

 

RegMed Investors’ (RMi) closing bell: “even positive sector news doesn’t matter to share pricing as market craters taking the cell and gene therapy sector with it. Confidence and conviction got lost as 21 of 28 downsizers felt the volume surge/pain while Biostage (BSTG) Pumped/Promoted the volume and pricing +$1.19 with 2,660 shares traded <3-month average = 1,770 shares>. Intellia Therapeutics (NTLA -$2.87) had news of knocked out the gene responsible for a rare and deadly swelling disorder and got dumped while CRIPR Therapeutics (CRSR) showed progress in pre-liminary study and also sunk (-$4.48)” … https://www.regmedinvestors.com/articles/12607

 

Ebb and flow:

Q3/22 – September – 1 holiday, 7 positive and 4 negative closes

•             August – 1 neutral, 11 positive and 11 negative closes

•             July - 1 holiday, 10 negative and 10 positive closes

 

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

Positive Indication:

Beam Therapeutics (BEAM) closed up +$3.66 to $60.49 after Wednesday’s +$3.50 and Tuesday’s -$4.25 with a positive +$0.13 or +0.23% pre-open indication,

BioLife Solutions (BLFS) closed down -$2.82 to $23.12 after Thursday’s -$0.17 with a negative -$0.05 or -0.22% pre-open indication,

Bluebird bio (BLUE) closed down -$0.75 to $6.34 with a positive +$0.55 or +8.68% pre-open <see Out and About>

UniQure NV (QURE) closed down -$0.84 to $19.39 with a positive +$0.96 or +$4.95% pre-open indication,

 

Negative Indications:

Caribou Biosciences (CRBU) closed down -$1.42 to $11.37 with a negative -$0.37 or -3.24% pre-open indication.

Intellia Therapeutics (NTLA) closed down -$2.87 to $65.71 after Thursday’s +$4.70, Wednesday’s +$0.73, Tuesday’s -$2.05 and Monday’s +$0.76 and Friday’s +$3.72 with a negative -$1.92 or -2.92% pre-open indication,

CRISPR Therapeutics (CRSP) closed down -$4.48 to $70.53 after Thursday’s +$2.82, Wednesday’s -+$0.73, Tuesday’s -$2.27, Monday’s +$2.86 and last Friday’s +$0.69 with a negative -$1.03 or -1.46% pre-open indication,

Verve Therapeutics (VERV) closed down -$4.94 to $35.55 after Thursday’s +$1.14 and Wednesday’s +$1.84 and has a negative -$0.55 or -1.50% pre-open indication.

 

Puff/Pump and Promote: Maintaining SELL

Biostage (OTCQB: BSTG) closed up +$1.19 with 2,660 shares traded after Thursday’s -$0.19 with 717 shares traded after Wednesday’s +$0.15 with 2,101 shares traded, Tuesday’s -$0.30 with 500 shares traded and last Monday’s -$0.10 with 442 shares traded <3-month average = 1,806>,

  • Questions need to be answered and they NEVER are for shareholders; as the First Amendment of the U.S. Constitution does guarantee the “freedom of speech, or of the press” … but I guess NOT to respond?
  • How many non-citizens of Chinese nationality are employed at BSTG – 3 managers/directors of 5 and 3 of 5 board directors?
  • Who and WHAT are funding the “spikes” in volume and share price?
  • What is DST Capital?  Is DST Capital really managed by Mrs. bin Zhao of Weston, Mass and Hong Yu, president of BSTG?  Is LIU Dong-hai chairman of D. Phone, one of the largest smartphone retailers in China and Dixintong Technology group; the ultimate funder of DST Capital?
  • Are Chinese communist bureaucrats from Beijing, China directing the company’s activities with BSTG being their corporate “concubine”?

 

The BOTTOM LINE:  The stock market suffered damaging losses in the past week yet, the sector only suffered two (2) negative closes of five (5) sessions.

It's a time for investors to have minimal exposure,

Are we, investors due for another DEEP dive in our cell and gene therapy universe as indexes WEAKEN?

I try to keep it simple … and short as I love my coverage list – yet, the truth will set investors free from electronic and algorithm control!

As I continually question, “The real question that should be asked is how many companies are at the end of sentiments …  leash? Start by looking at cell and gene therapy companies trading below cash!” 

When it comes time to invest or even hold onto an investment; I’d say … focus on what percentage ownership of stock … NOT options CEOs and management teams own versus their salary and bonus.

As I have written, “I devote a lot of time to the direction of the sector to reckon the geography of my coverage group.”

That doesn't mean you should flee entirely to cash, but investors make sure gains don't evaporate thus … be quick to drop losing positions.

Whether information or intelligence is good, bad or somewhere in between; RMi’s daily report is a primer that may say little or a lot; yet it serves as insurance that all indications are being examined and evaluated.

 

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.

All investments are subject to risks. Investors should consider investment objectives.

Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions securities referred to in this publication.