December 21, 2022 4:43pm
How long will it last (?) until electronic trading wants to end the year with dramatic returns
I would also be more than worried by … about the upcoming quarter earnings season.
Why do I keep writing this blog/newsletter; to educate and inform investors, what others won’t say or write
My guide to 'good news seems to be bad news' and 'bad news is good news. 'In normal times, no one really questions whether good news in the economy is actually good.
Amid the ongoing cell and gene therapy sector volatility, “our” universe’s trend remains " in a constant correction." That means that investors are safer on the sidelines as again … earnings are coming.
If I have learned one thing as a former research analyst in a venture and public fund now a journalist; it is that your life and your bank account are largely tied to your knowledge of price movements and questioning pricing targets.
The Dow closed UP +526.74 points (+1.60%), the S&P closed UP +56.81 points (+1.49%) while the Nasdaq closed UP +162.26 points (+1.54%)
We need to understand the macro to comprehend the micro re “our” universe of cell and gene therapy companies …
Indexes rose for a second day (Wednesday) after earnings reports from two bellwethers (Nike and FedEx) raised hopes that corporate earnings may be better than feared even with a potential recession.
The cell and gene therapy sector got oversold and I think this market was looking for an excuse to rally, “uncle” algorithms need to “RULE”; I really question, however, if this is something that’s going to be long-lasting.
“We got sort of oversold and I think the market was looking for an excuse to rally, and the Nike and FedEx number provided that. I really question, however, if this is something that’s going to be long-lasting.” <Sam Stovall, chief investment strategist at CFRA Research>
“With the end of 2022 in sight, all three major averages are on pace to snap a 3-year win streak and post their worst year since 2008. The Dow’s down 8.2% for the year and 3.6% this month, while the S&P’s shed 18.6% and 5%, respectively. The Nasdaq’s plummeted 31.5% in 2022 and 6.6% in December.” <CNBC>
Wednesday’s … RegMed Investor’s (RMi) Pre-Open: “a follow through for positive sector equities? Wednesday could offer a bounce; as the Nasdaq is still some distance below its 50-day moving average.” … https://www.regmedinvestors.com/articles/12753
RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened – quite a difference …
- Wednesday’s advance/decline line opened positive at 32 up/ 3 down and 0 flat, stayed positive with 28 up/7 down and 1 flat at the mid-day, ending with a positive close of 22/12 and 1 flat.
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Wednesday, the IBB was up +1.25% and the XBI was up +2.19%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Wednesday was down -1.39 points or -6.47% at 20.09
Closing Down (12 of 12):
- BioLife Solutions (BLFS -$0.42 after Tuesday’s +$0.80 and Monday’s +$0.07),
- Fate Therapeutics (FATE -$0.38 after Tuesday’s -$0.12),
- Caribou Biosciences (CRBU -$0.13 after Tuesday’s -$0.14),
- Prime Medicine (PRME -$0.12)
- Ionis Pharmaceuticals (IONS -$0.10 after Tuesday’s -$0.10 and Monday’s +$0.96),
- Voyager Therapeutics (VYGR -$0.05),
- Bellicum Pharmaceuticals (BLCM -$0.0384),
- Homology Medicine (FIXX -$0.03),
- Precigen (PGEN -$0.02),
- Biostage (OTCQB: BSTG -$0.02),
- Adverum Biotechnologies (ADVM -$0.0103 after Tuesday’s -$0.0172),
- Verastem (VSTM -$0.0009 after Tuesday’s -$0.01),
- Solid Biosciences (SLDB)
Closing Up (10 of 22):
- Alnylam Pharmaceuticals (ALNY +$3.76 after Tuesday’s +$3.48 and Monday’s -$2.85),
- Beam Therapeutics (BEAM +$1.64 after Tuesday’s +$1.49 and Monday’s -$2.44),
- CRISPR Therapeutics (CRSP +$1.11),
- Regenxbio (RGNX +$0.94 after Tuesday’s +$0.60 and Monday’s -$1.20),
- Sage Therapeutics (SAGE +$0.87 after Tuesday’s +$0.47 and Monday’s -$1.77
- Vericel (VCEL +$0.83 after Tuesday’s +$1.02 and Monday’s -$1.72),
- uniQure NV (QURE +$0.48 after Tuesday’s +$1.08 and Monday’s -$1.16),
- Chinook Therapeutics (KDNY +$0.42),
- Verve Therapeutics (VERV +$0.41 after Tuesday’s +$0.54, Monday’s -$1.30),
- Compass Therapeutics (CRBU +$0.35),
Q4 – December
- Wednesday closed positive with 22 incliner, 12 decliners and 1 flat
The BOTTOM LINE: I try to keep it simple … and short!
“Uncle “algorithms came in time to supplement yesterdays and today’s up slide of equities – but, for how LONG?
Be prepared … just 7 trading days remain in 2022.
The biggest issue for the New Year is the cloud of recession overhanging the economy, market volatility that affects and effects our universe of cell and gene therapy sector equities
Avrobio (AVRO closed barely up again +$0.0001 with 607,023 shares traded after Tuesday’s +$0.0295 with 361,951 shares traded (says a lot of addressing the delisting issue) having filed a S-3 for $250 million common stock, preferred stock, debt securities, warrants and unit offering within draft prospectus by Cowen as stock sinks while delisting continues? Just another “screw-job” of investors! < Read, SELL and Weep - see hyperlink below> Avrobio (AVRO) files S-3 (Registration Statement) for offering with draft prospectus by Cowen … https://investors.avrobio.com/node/9116/html
· Also, RA Capital has sold its position in the company – a sign of dissatisfaction!
· While, President, CEO and director Geoff Mackay carries home a HUGE salary of $754.39 K per year?
Biostage (OTCQB: BSTG) closed down -$0.02 with 624 shares traded after Tuesday’s $0.00 with 34 shares traded after Monday’s $0.00 to $5.82 with 8,115 shares traded, Friday’s -$0.80 to $5.85 with 8,115 shares trade, Thursday’s $0.00 with only 100 shares traded and last Wednesday’s $0.00 with1,100 shares traded?
As I continually question, “The real question that should be asked is how many companies are at the end of sentiments … leash?
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.
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.