February 3, 2016 5:18pm

 

Weakness was suddenly being bought pushing the sector higher than the morning and mid-day action …

 

However, current losers will be served-up as the next plate of winners. 

 

Subscribe to find out WHY … http://www.regmedinvestors.com/create-account   or take your losses without complaining!

 

Investors suffer from the paradox of information overload. If you have a smartphone in your pocket, you can access more information about the financial markets than the world's top hedge funds did 20 years ago. Yet, I bet your investment returns have not improved one iota as a result. But, who is interpreting that information … get it here!

 

 

U.S. stocks closed mostly higher on Wednesday, with the Dow and S&P completing a massive comeback spurred by a surge in oil.

The mid-day NASDAQ closed DOWN -12.71 or -0.28% to 4,504.24 and the DOW closed UP +183.12 or +1.13% to 16,336.66.

 

 

A day in the life of the stem, cell and gene therapy RegMed (SCGT & RM) sector – the advance/decline line scenario …

  • Wednesday, the stem, cell and gene therapy RegMed sector opened positive with an A/DL of 29/12 and 3 flat while the mid-day flipped to the downside or negative with an A/DL of 14/25 and 4 flats while the closing bell rang again negative with A/DL of 20/22 and 1 flat of our 43 covered companies.

 

 

Henry’omics:

The stem, cell and gene therapy RegMed (SCGT&RM) sector opened positive, flipped to the negative at the mid-day  and closed negative (of 43 covered companies).

  • The iShares Nasdaq Biotechnology ETF (IBB) closed up 1.15%.

Many are convinced that falling oil prices have been a key reason why stocks and in particular the SCGT&RM sector have been falling, but the reality is far different.

  • When markets fall, investors love to point the finger at something...

The price of oil has added to the perception of risk in the stock market, but I believe that the impact on “our” universe is negligible.

  • Depreciation is also fueled by fewer sector headlines!

 

 

Out and about:

Osiris Therapeutics (OSIR) President  & CEO Lode Debrabandere, Ph.D., resigns (?) for personal reasons <is there a Swiss influence>.  

  • Chief Business Officer Dwayne Montgomery is appointed interim CEO and VP and General Manager of Wound Care Frank Czworka is promoted to Chief Operating Officer.

A search for a permanent CEO is underway.

 

 

My fear gauge or the CBOE Volatility Index (VIX), widely considered the best gauge of fear in the market traded

·         Wednesday traded above 21;

·         Tuesday traded near 22;

·         Monday traded above 20, its lowest since 1/5/16;

·         Friday traded below 20.5;

·         Thursday closed near 22.5;

·         Last, Wednesday traded near 23;

 

 

Dosing the sector – what a day for the 43 Patients:

  • The market opened: POSITIVE with 12 decliners, 29 advancers and 3 flats;
  • The mid-day (12:30 pm:  NEGATIVE with 25 decliners, 14 advancers and 4 flat;
  • Closing bell: NEGATIVE with 22 decliners, 20 advancers and 1 flat

 

 

Wednesday’s “casino” indications:  3 hits and 2 miss – I take the hits when I am wrong and don’t shout when I am right, let the qualitative analysis and facts - speak over time!

  • Fate Therapeutics (FATE) closed DOWN – miss;
  • Intrexon (XON) closed UP – hit;
  • Juno Therapeutics (JUNO) closed UP – hit;
  • Kite Pharma (KITE) closed UP – hit;
  • Osiris (OSIR) closed DOWN – miss;

 

 

Riding the indexes and ETFs roller-coaster:

  • The iShares Biotechnology Stocks ETF (IBB) closed UP on Wednesday +2.99 or +1.15% after Tuesday -7.52 or -2.80% after Monday’s advance of +1.48 or +0.55%;
  • The NASDAQ Biotechnology index (NBI) closed UP on Wednesday +33.84 or +1.24% following Tuesday’s decline of -82.97 or -2.95% after Monday’s +13.64 or +0.49%;
  • The Russell 2000 (IWM) closed UP on Wednesday +0.13 or +0.13% following Tuesday -2.21 or -2.16% after Monday’s decline of -0.47 or -0.81%;
  • The SPDR SD&P Biotech ETF (XBI) closed UP on Wednesday +0.25 or +0.50% following Tuesday’s decline of -1.85 or -3.58% after Monday’s advance of +0.41 or +0.81%

 

 

Who was DOWN – top 5:

  • Bellicum (BLCM) closed down -$0.83 to $10.16;
  • Cellectis ADR (CLLS) -$0.64 to $20.27;
  • uniQure (QURE) -$0.40 to $17.00;
  • Applied Genetic Technologies (AGTC) -$0.38 to $14.36;
  • Regenxbio (RGNX) closed down -$0.37 to $12.34

 

 

Who was UP – top 5:

  • bluebird bio (BLUE) closed up +$2.93 to $45.30;
  • Spark Therapeutics (ONCE) +$1.22 to $28.90;
  • Kite Pharma (KITE) +$0.81 to $45.79;
  • Juno Therapeutics (JUNO) +$0.33 to $24.83;
  • Intrexon (XON) closed UP +$0.31 to $31.01

 

 

Who was FLAT?

  • VistaGen (VSTA) at $8.24;

 

 

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.