October 6, 2023 4:44pm

Making investors feel like the US economy is in a good spot as job growth beats expectation when it’s a bad suggesting slowing wage growth as government jobs increased exponentially; as sector and markets shook-off inflationary pressures although the pace of improvement is forward looking uncertain. <see Bottom Line>

News: Alnylam Pharmaceuticals (ALNY -$1.23) new results for patisiran, an investigational RNAi therapeutic in development for the treatment of the cardiomyopathy of transthyretin-mediated (ATTR) amyloidosis.

Subscription is coming, it is not conscription but, an offer to join our collective of like-minded investors!  Join me … in the NO spin zone.

Here’s what you need to know ending the session and week

Never leave an investor uninformed! 

The Dow closed UP +288.01 points or +0.87%, the S&P closed UP +50.31 points or +1.18% while the Nasdaq closed UP +211.51 points or +1.60%

 

What’s SAFE … “No one company is immune in the sector and this market of rolling downdrafts? Welcome to my world of defining the “grey’ in our universe!”

Investors are going to need to prepare for another reporting cycle to confirm whether or not another bottom is even close to happening.

 

Henry’omics:

We need to more than consider the economic environment - rising rates and inflation to comprehend the micro re “our” universe of cell and gene therapy companies …

  • Indexes rallied Friday after the release of stronger-than-expected U.S. jobs data and a pop in Treasury yields.
  • September's jobs report blew past views. Indexes pared losses and the Nasdaq led broad gains.
  • Volume on the Nasdaq was higher compared with the same time on Thursday.
  • The Russell 2000 rallied 0.9%. The Innovator IBD 50 ETF (FFTY) outperformed with a 2.3% gain.
  • For the week, the Dow is down -0.1%, the S&P 500 is up +0.6% and the Nasdaq is also up +1.6%.

Economic Data Docket: The U.S. economy added 336,000 jobs in September, having expected 170,000 jobs; although wages rose less than expected last month.

 

Additional data from the title: Alnylam Pharmaceuticals (ALNY) -- Data from an interim analysis of the ongoing open-label extension (OLE) period of the APOLLO-B P3 study of patisiran in patients with the cardiomyopathy of ATTR amyloidosis through 24 months will be presented. In addition, findings from a post-hoc analysis of the APOLLO-B P3 study that further characterize the impact of patisiran on health status and quality of life in patients with the cardiomyopathy of ATTR amyloidosis will be presented, as well as demographics, baseline characteristics and safety data for patients who enrolled in the expanded access program (EAP) for patisiran.

 

Friday (10/6) … RegMed Investors’ (RMi) Opening Bell: “searching for an equilibrium. Some believe the monthly jobs report could be bad for stocks; should we take the release as a grain of salt given the recent surge in bond yields?” …  https://www.regmedinvestors.com/articles/13152

 

RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened – differences …

  • Friday’s advance/decline line opened negative with 7 up, 24 down and 4 flats, flipped positive at the mid-day with 18 up/ 16 down and 1 flat, ending with a negative close of 16 incliners, 19 decliners and 0 flat
  • Thursday’s advance/decline line opened negative with 14 up, 17 down and 4 flats, flipped positive at the mid-day with 20 up/ 14 down and 1 flat, ending with a positive close of 24 incliners, 9 decliners and 2 flats
  • Wednesday’s advance/decline line opened negative with 5 up, 28 down and 2 flats, stayed negative at the mid-day with 7 up/ 25 down and 3 flats, ending with a negative close of 8 incliners, 27 decliners and 0 flat
  • Tuesday’s advance/decline line opened negative with 10 up, 22 down and 3 flats, flopped positive at the mid-day with 19 up/ 15 down and 1 flat, ending with a positive close of 19 incliners, 14 decliners and 2 flats
  • Monday’s advance/decline line opened negative at 5 up/ 28 down and 2 flats, stayed negative with 6 up/ 29 down and 0 flat at the mid-day, ending with a negative close of 4 incliners, 30 decliners and 1 flat

 

Ebb and flow:

Q4:  October – 3 negative and 2 positive closes

·         Q3: September – 1 holiday, 8 positive and 12 negative closes

·         August – 9 positive and 14 negative closes

·          July - 1 holiday, 12 positive and 8 negative close

 

Key Metrics:

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Friday, the IBB was up +0.57% and the XBI was up +0.14%
  • Thursday, the IBB was up +1.33% and the XBI was up +3.28%
  • Wednesday, the IBB was up +0.72% and the XBI was down -1.06%
  • Tuesday, the IBB was down -1.09% and the XBI was down -0.18%
  • Monday, the IBB was down -1.35% and the XBI was down -3.19%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Friday was down -1.02 point or -5.52% at 17.47
  • Thursday was down -0.20 point or -1.08% at 18.38
  • Wednesday was down -1.32 point or -6.47% at 18.50
  • Tuesday was up +2.39 point or +13.57% at 20.00
  • Monday was up +0.43 point or +2.45% at 17.94

 

Closing Down (10 of 19):

  • Alnylam Pharmaceuticals (ALNY -$1.79 after Thursday’s +$9.54, Wednesday’s -$3.74, Tuesday’s -$6.05 and Monday’s +$1.86),
  • Beam Therapeutics (BEAM -$0.83 after Thursday’s +$0.72, Wednesday’s -$0.85 and Monday’s -$2.55),
  • Intellia Therapeutics (NTLA -$0.47 after Thursday’s +$1.57, Wednesday’s -$0.74, Tuesday’s +$0.27 and Monday’s -$2.21),
  • Ionis Pharmaceuticals (IONS -$0.46 after Thursday’s +$3.18 after Wednesday’s +$0.28, Tuesday’s -$0.04 after Monday’s -$1.93),
  • Sage Therapeutics (SAGE -$0.28 after Thursday’s +$0.47 after Wednesday’s -$0.41, Tuesday’s +$0.32 and Monday’s -$0.82),
  • AxoGen (AXGN -$0.14 after Thursday’s -$0.08),
  • Generation Bio (GBIO -$0.12,
  • MiMedx (MDXG -$0.11),
  • Graphite BIO (GRPH -$0.06 after Thursday’s -$0.04),
  • Caribou Biosciences (CRBU -$0.05)

Closing Up (10 of 16):

  • Harvard Apparatus GN (HRGN +$0.58),
  • Verve Therapeutics (VERV +$0.36),
  • BioLife Solutions (BLFS +$0.28 after Thursday’s -$0.33),
  • Ultragenyx Pharmaceuticals (RARE +$0.26 after Thursday’s +$0.73, Wednesday’s -$1.22, Tuesday’s +$0.66 and Monday’s -$0.85),
  • uniQure NV (QURE +$0.23 after Thursday’s +$0.70),
  • Voyager Therapeutics (VYGR +$0.21),
  • Blueprint Medicine (BPMC +$0.16 after Thursday’s +$3.11, Wednesday’s -$2.29, Tuesday’s -$0.33 after Monday’s -$1.36),
  • Solid Biosciences (SLDB +$0.10 after Thursday’s -$0.03),
  • Cellectis SA (CLLS +$0.06),
  • CRISPR Therapeutics (CRSP +$0.06 after Thursday’s +$1.38, Wednesday’s -$1.32, Tuesday’s +$0.53 and Monday’s -$2.98),

 

Q4/23 – October

  • Friday (10/6) closed negative with 16 incliners, 19 decliners and 0 flat
  • Thursday closed positive with 24 incliners, 9 decliners and 2 flats
  • Wednesday closed negative with 8 incliners, 27 decliners and 0 flat
  • Tuesday closed positive with 19 incliners, 14 decliners and 2 flats
  • Monday (10/2) closed negative with 4 incliners, 30 decliners and 1 flat

 

The BOTTOM LINE: I get to the past “heart of darkness” in “our” cell and gene therapy universe, while I try to keep it unpretentious … and short!

In response to a better jobs report, “It’s NOT, a strong job market may ultimately make many Americans feel worse. How?

  • The Fed is working to slow the economy by hiking interest rates — the only tool it has to fight inflation.
  • A still-robust job market — see the 336,000 jobs added last month — means the central bank could continue to increase rates without fear of sending the economy into a recession.
  • We should never cheer a bad job market. But a job market that has remained this healthy for this long really isn’t excellent news for average Americans struggling to pay their bills.
  • While, most investors feel like the US economy is in a bad spot.
  • Treasury yields initially surged after the jobs report, with the 10-year Treasury rate trading near its highest level in 16 years. The benchmark rate later eased from those levels, but was still up around 6 basis points at 4.782%.
  • And last but not least – the political polarization of the government and its squabbles
  • Pessimism won't be going away anytime soon and that is probably why cell and gene therapy sector equities are selling off today
  • Sentiment is definitely slipping as exits appear in the fourth (4th) session of the new month and Q.

 

The cell and gene therapy sector equities share pricing on Friday declined after Thursday “ascension” post pooping the bed on Wednesday, rising on Tuesday following negative closes on Monday and last Friday.

 

It’s still about the economy … STUPID as investors congest a raft of economic reports pointing to … tamer core inflation data and a spending consumer.

  • Right up front, “I also hate to be so negative or contrarian but, this is a NO spin zone and truth is its product; I can always be WRONG but … I am mostly EARLY!”
  • Looking ahead, data would take center stage once again with past September consumer price inflation and producer price index readings … due next week.

Focus should be on the upcoming quarterly earnings season!

 

The top three (3) performing in the session:

  • Friday: Harvard Apparatus GN (HRGN), Verve Therapeutics (VERV) and BioLife Solutions (BLFS)
  • Thursday: Alnylam Pharmaceuticals (ALNY), Blueprint Medicine (BPMC) and Ionis Pharmaceuticals (IONS) -2x
  • Wednesday: Ionis Pharmaceuticals (IONS), Vericel (VCEL) and Harvard Apparatus GN (HRGN)
  • Tuesday: Ultragenyx Pharmaceuticals (RARE), Beam Therapeutics (BEAM) and CRISPR Therapeutics (CRSP),
  • Monday: Alnylam Pharmaceuticals (ALNY), MiMedx (MDXG)

The worst three (3) in the session:

  • Friday: Alnylam Pharmaceuticals (ALNY), Beam Therapeutics (BEAM) and Intellia Therapeutics (NTLA)
  • Thursday:  BioLife Solutions (BLFS), AxoGen (AXGN) and Adverum Biotechnologies (ADVM)
  • Wednesday: Alnylam Pharmaceuticals (ALNY) – 2x, Blueprint Medicine (BPMC) -2x and REGENXBIO (RGNX)
  • Tuesday: Alnylam Pharmaceuticals (ALNY), Blueprint Medicine (BPMC) and Harvard Apparatus GN (HRGN)
  • Monday: CRISPR Therapeutics (CRSP), Beam Therapeutics (BEAM) and Intellia Therapeutics (NTLA)

 

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.