May 21, 2025 4:51pm

As I wrote on Tuesday night, “brace for another round of share pricing slides, as algos and electronic trading “thirst” after multiple positive “plays” After I had written Monday, “Many cell and gene therapy sector equities were lying in the weeds at the open, then flying; let’s NOT be too optimistic to buying dips and hanging on to highs”

News: CRISPR Therapeutics AG (CRSP -$2.26) has entered a $95 M upfront partnership with China-based Sirius Therapeutics to co-develop an siRNA drug targeting blood clotting disorder. Moderna (MRNA -$2.19) has voluntarily withdrawn the pending Biologics License Application (BLA) for mRNA-1083, its flu/COVID combination vaccine candidate for adults aged 50 years and older. MRNA plans to resubmit the BLA later this year, after vaccine efficacy data from the ongoing P3 trial of its investigational seasonal influenza vaccine, mRNA-1010, are available.

Never leave an investor uninformed!  

On point, short on words, long on facts and being judicious!

My mission is to provide clear, actionable guidance on a regular basis to help investors and traders navigate the uncertain and often irrational financial markets.

I put hours of effort to create reporting, while leveraging my 40 years of operating. investigative and research experiences to analyze the key market-moving events and distill that into a cogent outlook.

 

Tuesday night’s RegMed Investors (RMi) Closing Bell: brace for another round of … https://www.regmedinvestors.com/articles/13927

RegMed Investors (RMi) Research Note: Harvard Apparatus GT (OTCQB: HRGN) Chronicles: Yet another "screw job" for/on investors ... "wanting to effect a reverse split of its outstanding common stock" in its recent proxy statement filing!! … https://www.regmedinvestors.com/articles/13812

 

Wednesday: The Dow closed DOWN -816.80 points or -1.91%, the S&P closed DOWN -95.85 points or -1.61% while the Nasdaq closed DOWN -270.07 points or -1.41%

  • Indexes tipped to the downside as traders fretted over another move higher in Treasury yields

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

  • The 30-year Treasury bond yield moved back 5.09% on Wednesday, while the benchmark 10-year Treasury note yield traded over 4.59%.

Wednesday’s advance/decline line opened with a negative 5 incliner, 28 decline and 2 flats ending with a negative close of 3 incliners, 30 decliners and 2 flats         

Metrics:  Wednesday, the IBB was down -2.98%, the XBI was down -2.07% while the VIX was up +2.71 points or +14.99% at 20.80

 

Q2/25 – May – 7 negative and 8 positive closes

  • April – 11 positive and 10 negative closes

Q1/25

  • March, 10 positive and 12 negative closes
  • February – 12 holiday, 11 negative and 7 positive closes
  • January - 2 holidays, 1 market close, 10 negative and 10 positive closes

 

Wednesdays Closing UP (3 of 3) 

  • Alnylam Pharmaceuticals (ALNY +$0.90),
  • uniQure NV (QURE +$0.19),
  • Sangamo therapeutics (SGMO+$0.0009),

Flat (2)

  • Harvard Apparatus RT (OTCQB: HRGN $0.00 after Tuesday's $0.00 after Monday’s -$0.14)
  • Homology Medicine (FIXX)

Wednesday’s Closing DOWN (10 of 30): 

  • Vericel (VCEL -$2.45),
  • CRISPR Therapeutics (CRSP -$2.26 after Tuesday’s -$0.09
  • Moderna (MRNA -$2.19 after Tuesday’s +$1.53),
  • Ultragenyx Pharmaceuticals (RARE -$1.94 after Tuesday’s +$0.58),
  • Blueprint Medicine (BPMC -$1.49 after Tuesday’s -$0.48
  • Ionis Pharmaceuticals (IONS -$0.97 after Tuesday’s +$0.47),
  • BioLife Solutions (BLFS -$0.72 after Tuesday’s -$0.65
  • Lenz Therapeutics (LENZ -$0.57),
  • Beam Therapeutics (BEAM -$0.53),
  • Intellia Therapeutics (NTLA -$0.47 after Tuesday’s +$0.56),

 

The BOTTOM LINE: Wednesday, equities fell as treasury yields continued to climb.

The benchmark 10-year Treasury yield added 11 basis points to hit 4.59%, while the 30-year Treasury yield added 11 basis points to 5.08%, hovering near its highest level since 2023.

  • A 1 p.m. 20-year bond auction saw weak demand, sending Treasury yields surging.
  • The 10-year Treasury yield (^TNX) added 9 basis points to hit 4.58% while the 30-year Treasury yield (^TYX) added 10 basis points to 5.07%, hovering near its highest level since 2023.
  • Stocks reversed as yields rose, with all three of the major indexes quickly hitting their lows on the day. <Josh Schafer, my favorite economist>

Some explanation:

In a research note to clients on Wednesday, Piper Sandler chief investment strategist Michael Kantrowitz detailed key levels to watch on the 10-Year Treasury yield and their potential implications on stocks.

  • "The path of rates will also be crucial for equities, particularly for relative performance," Kantrowitz wrote. "Since 2022, equity markets have struggled when 10yr rates moved above 4.5%-4.75% and we are pushing up against that zone once again."
  • As Kantrowitz highlights in the chart below, once the 10-year Treasury yield has risen above 4.5%, interest rate sensitive stocks typically see increased underperformance.
  • This played out in Wednesday's action with the Russell 2000 Index (^RUT), which has many companies with more interest rate exposure than the S&P 500, falling nearly 2.2%. Meanwhile, the S&P 500 (^GSPC) was down 1.1%.

 

After indexes slid on Tuesday, pulling back from their recent rally amid growing warnings that investor relief over a cooling in trade tensions and in US inflation may be misplaced.

May ‘25: understand the “flow” …

  • 5/21 – Wednesday closed negative with 3 positive, 30 negative and 2 flats
  • 5/20 – Tuesday closed positive with 23 positive, 9 negative and 3 flats
  • 5/19 – Monday closed positive with 23 positive, 12 negative and x flats
  • 5/16 - Friday closed positive with 29 positive, 3 negative and 3 flats
  • 5/15 – Thursday closed positive with 24 positive, 10 negative and 1 flat
  • 5/14 – Wednesday closed negative with 8 positive, 25 negative and 2 flats
  • 5/13 – Tuesday closed negative with 6 positive, 28 negative and 1 flat
  • 5/12 - Monday positive with 39 positive, 3 negative and 2 flats
  • 5/9 - Friday closed negative with 10 positive, 23 negative and 2 flats
  • 5/8 – Thursday closed positive with 25 positive, 8 negative and 2 flats
  • 5/7 - Wednesday closed positive with 16 positive, 15 negative and 4 flats
  • 5/6 – Tuesday closed negative with 2 positive, 31 negative and 2 flats
  • 5/5 - Monday closed negative with 9 positive, 23 negative and 3 flats
  • 5/2 – Friday closed positive with 24 positive, 8 negative and 3 flats
  • 5/1 - Thursday closed negative with 14 positive, 19 negative and 2 flats

 

I usually write/say “electronic trading and uncle algo” slips in and out, back doors reaping sector disharmony and then pops right back for some profiteering.

  • What can I say, love ‘em, leave ‘em and welcome back to save the sector’s honor – “uncle algo and his electronic dwarfs.” <me>

My perspective is retail investors should NOT be dipping their toes back into the cell and gene therapy sector until after LPS (loss-per-share) earnings report.

  • NO all ins – just add those with solid partners, lengthened runways and solid cash positions leveraged by solid management teams – there I see losses going forward!

Market news i.e., tariff drive upside yet estimate and consensus misses with continued earnings LPS (loss-per-share) will shake the sector down – the vig must be paid!

“I 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!”

  • If I have learned one thing as a former research analyst in a venture and public fund, operating executive, x-FBI, x-military officer and an adjunct (MBA) business school professor now a journalist; my life and your portfolio are largely tied to knowledge of price movements and questioning pricing targets and more.

 

Why do I keep repeating, so investors can make the connection …

The top three (3) performing in the session:   

  • Wednesday: Alnylam Pharmaceuticals (ALNY), uniQure NV (QURE) and Sangamo Therapeutics (SGMO)
  • Tuesday: Blueprint Medicine (BPMC), Moderna (MRNA) and Ultragenyx Pharmaceuticals (RARE)
  • Monday: Alnylam Pharmaceuticals (ALNY), Lenz Therapeutics (LENZ) and Moderna (MRNA)

The worst three (3) in the session: 

  • Wednesday: Vericel (VCEL), CRISPR Therapeutics (CRSP) and Moderna (MRNA)
  • Tuesday: AxoGen (AXGN), Alnylam Pharmaceuticals (ALNY) and Prime Medicine (PRME)
  • Monday: BioLife Solutions (BLFS), Blueprint Medicine (BPMC) and Verve therapeutics (VERV)

Welcome to my world of defining the “grey’ in our universe!

  • Right up front, “I also hate to be so negative or contrarian but, this is a NO spin zone and facts are its product; I can always be WRONG but … I am mostly EARLY!”

 

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 it’s 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.