October 9, 2023 7:55am

After murderous attack/massacre on Israel, war response weighs financial markets

Pre-Open indications: 3 Positive and 3 Negative

Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors! 

Bond markets will be closed Monday for Columbus Day

Never leave an investor uninformed

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. My interpretation of the morning’s numbers is written to be informative; it’s built on what could happen or materialize

 

Dow futures are DOWN -0.49% or (-164 points), S&P futures are DOWN -0.58% or (-25 points) and NASDAQ futures are DOWN -0.78% or (-116 points) early in the pre-open – so far

Stock futures were lower Monday as the Israeli-Palestinian conflict escalated to full-blown war

European markets were mixed,

Asia-Pacific markets are mixed to start to the week.

 

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 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%; after the release of stronger-than-expected U.S. jobs data and a pop in Treasury yields.

Economic Data Docket: none <see bottom Line>

 

Friday’s (10/6) RegMed Investors’ (RMi) closing bell: “a good news is bad news conundrum. 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.” … https://www.regmedinvestors.com/articles/13153

 

Ebb and flow:

Q4: October – 2 positive and 3 negative 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

 

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

I post about “indication intelligence” devoting my time to collection and analysis of information to assist investors with insight into sector vulnerabilities and strengths. A dictionary definition of “indicate” refers to something less than a certainty; an indication could be a signal of being oversold or overbought, a recommendation, or grounds for inferring or a basis for believing.

Negative Indications:

Friday’s closing price, some Thursday, Wednesday, Tuesday and last Monday’s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)

Beam Therapeutics (BEAM) closed down -$0.83 after Thursday’s +$0.72, Wednesday’s -$0.85 and Monday’s -$2.55 with a negative -$0.33 or -1.54% aftermarket.

CRISPR Therapeutics (CRSP) closed p +$0.06 after Thursday’s +$1.38, Wednesday’s -$1.32, Tuesday’s +$0.53 and Monday’s -$2.98) with a negative -$1.05 or -2.44% pre-open indication,

Intellia Therapeutics (NTLA) closed down Friday -$0.47 with a negative -$0.29 or -0.97% pre-open indication.

 

Positive indications:

Friday’s closing price, some Thursday, Wednesday, Tuesday and last Monday’s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)

Alnylam Pharmaceuticals (ALNY) closed -$1.79 after Thursday’s +$9.54, Wednesday’s -$3.74, Tuesday’s -$6.05 and Monday’s +$1.86 with a positive $3.08 or +1.74% pre-open indication.

Sage Therapeutics (SAGE) closed down -$0.28 after Thursday’s +$0.47 after Wednesday’s -$0.41, Tuesday’s +$0.32 and Monday’s -$0.82 with a positive +$0.10 or +0.50% pre-open indication.

Voyager Therapeutics (VYGR) closed up +$0.21 with a positive +$0.38 or +5.3% aftermarket indication

 

The BOTTOM LINE: as the sub-title states, “After murderous attack/massacre on Israel, war response weighs financial markets.”

After October’s first week of 2 positive and 3 negative close in the new month...

  • It is also a quasi-holiday that I still call Columbus Day which is usually swapped-out for the day after Thanksgiving in November by many businesses in America.
  • The RegMed sector suffers the tourist routine … most traders hear a piece of news, contemplate a pumping to buy and a dumping to sell.  These same buyers/sellers can also be very fickle as their purchasing habits are often based on emotion, not sound investment strategies.
  • As I have stated numerous times, “The sector is what it is, until it isn’t and even then, it doesn’t seem to be… “

 

It's a daunting task to understand risk, seeing the unforeseen; on the basis of my own code of integrity, I have one rule: I eat my own cooking and I own up to my “issues”! 

  • I write every line that investors need to avoid risks as if I was the first to be hurt if I am wrong!

 

Some good news, “Bristol-Myers Squibb (BMY) on Sunday said it will acquire cancer drugmaker Mirati Therapeutics (MRTX) for up to $5.8 billion, diversifying its oncology business and adding drugs it hopes can help offset expected lost revenue from patent expirations later this decade.

  • BMY will pick up MRTX’s portfolio of drugs that target the genetic drivers of specific cancers, including its lung cancer drug Krazati, which was approved in December.
  • A second compound - MRTX1719 - which could be used in some types of lung cancer was also attractive to BMY,
  • BMY will buy MRTX for $58 per share in cash, or around $4.8 billion. Mirati has around $1.1 billion in cash on hand, so “we’re paying essentially $3.7 billion enterprise value...we think with that we’ve gotten a very attractive deal.” <Adam Lenkowsky, Chief Commercialization Officer>
  • MRTX stockholders will also receive one non-tradeable contingent value right for each Mirati share held, potentially worth $12.00 per share in cash, representing an additional $1 billion of value opportunity, the company said
  • BMY will finance the transaction with a combination of cash and debt, the company said in a statement.

 

Weekly Economic Data Calendar ...

Monday Economic Data: 

  • None

Tuesday Economic Data:

  • NFIB Small Business Optimism, September (91.3 expected, 91.3 previously); Whole inventories month-over-month, August final (-0.1% expected, -0.1%. previously)

Wednesday Economic Data:

  • Producer Price Index, month-over-month, September (+0.3% expected, +0.7% previously); PPI, year-over-year, September (+1.6% expected; +1.6% previously); Core PPI, month-over-month, September (+0.2% expected, +0.2% previously); Core PPI, year-over-year, September (+2.3% expected; +2.2% previously); FOMC meeting minutes

Thursday Economic Data:

  • Consumer Price Index, month-over-month, September (+0.3% expected, +0.6% previously); Core CPI, month-over-month, September (+0.3% expected, +0.3% previously); CPI, year-over-year, September (+3.6% expected, +3.7% previously); Core CPI, year-over-year, September (+4.1% expected, +4.3% previously); Real average hourly earnings, year-over-year, September (+0.d5%previously) Initial jobless claims, week ending Oct. 7 (214,000 expected, 207,000. previously);

Friday Economic Data:

  • Import prices, month-over-month, September (+0.6% expected, +0.5% previously); Export prices, month-over-month, September (+0.5% expected, +1.3% previously); University of Michigan consumer sentiment, October, preliminary (67.5 expected, 68.1 previously) <Josh Schafer, Yahoo! Finance>

 

I hate to be so negative or contrarian but, this is a NO spin zone and facts are its product; I am more frequently right than consequentially wrong but, I am mostly EARLY!

  • I am more frequently right than consequentially wrong; if you want to be liked, don’t be an analyst/journalist.
  • Timing is everything, “I learned very early (as a military officer), if you were 5 minutes early for a meeting, you were 10 minutes late – follow my lead by being EARLY in portfolio deliberations.”

 

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.

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.  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 could hold or have positions securities referred to in this publication and he will NOTIFY investors of holdings.