January 20, 2023 7:35am
This is why the market/sector is struggling for direction
Pre-open Indications: 4 Positive Indications and 2 Negative Indications
I write this blog/newsletter to inform investors with facts and supporting numbers focused on what they need to hear that others won’t say or write about - truth! Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors! Join me … in the NO spin zone.
The 8:00 a.m. 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 -0.15% or (-49 points), S&P futures are UP +0.08% or (+3 point) and NASDAQ futures are UP +0.48% or (+55 points) early in the pre-open – so far
Stock futures were mixed and mostly up on Friday,
European markets were flat,
Asia-Pacific markets traded higher.
We need to understand the macro to comprehend the micro re “our” universe of cell and gene therapy companies …
Indexes fell Thursday as investors grew increasingly concerned the Fed will keep raising rates.
The Dow closed DOWN -252.40 points (-0.76%), the S&P closed DOWN -30.01 points (-0.76%) while the Nasdaq closed DOWN -104.74 points (-0.96%)
Economic Data Docket: existing and previously owned home sales
Thursday’s (1/19) … RegMed Investors’ (RMi) closing bell: “who says the cell/gene therapy sector is not fazed by economics? As investors nose into Q4 earnings reporting with economic data and federal debt limits influencing news.” … https://www.regmedinvestors.com/articles/12793
Ebb and flow:
Q1/23 – 2 holiday, 6 positive and 6 negative closes
· December – 1 holiday, 13 negative and 8 positive closes
· November -1 holiday, 14 negative and 8 positive closes
· October -1 neutral, 11 positive and 9 negative closes
Companies in my headlights – It’s your decision; I provide ideas and context: INDICATIONS
Beam Therapeutics (BEAM) closed down -$2.10 to $42.41 after Wednesday’s +$0.06 after Tuesday’s +$1.21 with a positive +$0.81 or +1.91% aftermarket indication.
CRISPR Therapeutics (CRSP) closed down -$2.88 to $47.67 after Wednesday’s -$1.22 after Tuesday’s +$1.83 with a positive +$1.14 or +2.37% pre-open indication.
Intellia Therapeutics (NTLA) closed down -$2.78 to $33.30 after Wednesday’s -$0.97 with a positive +$0.50 or +1.50% pre-open indication,
Verve Therapeutics (VYGR) closed down -$1.31 to $20.82 with a positive +$0.64 or +3.07% aftermarket indication,
BioLife Solutions (BLFS) closed down -$0.11 to $23.88 with a negative -$0.89 or -3.73% aftermarket indication,
Voyager Therapeutics (VYGR) closed up +$0.22 to $9.46 with a negative -$0.41 or -4.33% aftermarket indication,
The BOTTOM LINE: I try to keep it simple and short!
My interpretation of the morning’s numbers is written to be informative; it’s built on will happen behind the headlines today, not tomorrow or yesterday …
Fresh economic reports pointed to weaker economic activity, with one big exception: Initial jobless claims matched their lowest level since last April. The overall picture points to rising recession risks, but tight labor markets keeping the Fed hawkish.
Cell and gene therapy sector equities retreated various percentages. Investors should wait to see if this pullback is temporary or something more serious.
Eli Lilly (LLY) falls on FDA Alzheimer's Rejection – a contributing sentiment reminder …
· The FDA rejected Eli Lilly's accelerated approval submission of its Alzheimer's treatment donanemab, seeking more data. Eli Lilly (LLY) fell modestly overnight. Biogen (BIIB), which recently released positive results on a similar Alzheimer's drug, rose modestly.” <IBD>
Reiterating, “As 2023 trading begins, some investors think the pain is far from over; I agree for Q1 as Q4 earnings releases could hinder share pricing however, once through that “gauntlet” – we could see a bit of a smoother road in Q2/2023 hoping for a few clinical results and successful financings – well needed for more than usual companies.”
“Don't act like the market is in an uptrend until the market is actually in an uptrend”.
Insight is about understanding perception and also about putting into context what is relevant to expectation fulfillment,
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.