December 12, 2016 8:24am
… But, where will it come from, as 2016 ends?
Incremental trading moves aren’t that sustainable …
I answer one question; in which company should investors put, keep and commit their money!
Who is in today’s headlights – three (3) equities, are they a BUY or a SELL – subscribers know!
I write in every line that investors need to avoid risks as if I were the first to be hurt if I am wrong!
The sector is being driven by a missing theme - until we get some optimism, the path of least resistance is lower.
BUY: BSTG, BTX and ONVO
Indexes and ETFs: The IWM (-0.22%) and the IBB (-0.26%) are DOWN, XLV and XBI are NOT indicating
Dow futures are UP +0.08% and NASDAQ futures are DOWN -0.35%
U.S. stock index futures pointed to a flat open on Monday as traders paused for breath following U.S. equities' best trading week since the election.
European markets were lower amid continued political uncertainty in Italy and as investors awaited another rate decision from the U.S. Federal Reserve.
Asian market were mixed as shares in China took a tumble after regulatory curbs on aggressive share purchases by insurers ahead of the highly-anticipated FOMC's two-day meeting starting Tuesday, while politics dominated news flows in other markets.
Data docket: the Federal budget for November released at 2.00 p.m. ET.
The stem, cell, gene and regenerative therapy (SCG&RT) sector closed POSITIVE on Monday and Friday, NEGATIVE on Thursday, Wednesday, Tuesday and last Monday.
The SCG&RT sector’s record after the last 5 days (of 43 covered companies):
· Friday closed barely POSITIVE with 19 decliners, 20 advancers and 4 flats;
· Thursday closed without being tracked;
· Wednesday closed NEGATIVE with 27 decliners, 14 advancers and 2 flats
· Tuesday closed POSITIVE with 17 decliners, 23 advancers and 3 flats;
· Last Monday closed POSITIVE with 11 decliners, 28 advancers and 4 flats;
Remembering last week’s presentation newsletter at the World Stem Cell Summit (WSCS), “After a year of volatile dynamic shifts, fear and sub-par returns; the battle of the over-sold versus the over-bought continues.”
What is on the agenda for the rest of the month?
The iShares Nasdaq Biotechnology ETF (IBB) had lost 20% and the S&P 500 (SPX) had gained 11% in the last year to date.
Watching the back of SCG&RT sector equities … as the President elect could renew focus on drug pricing … and “stuff”, sector pricing thus trades flow downhill!
You’ve made it to the office, turned on the monitor, having just gotten your coffee and it hits you - what could be today’s trades?
Watch list:
· The iShares Nasdaq Biotechnology (IBB) closed Friday up +0.43% and is DOWN -0.26% in Monday’s pre-market;
· The SPDR S&P Biotech ETF (XBI) closed Friday down -0.32% and is NOT indicating in Monday pre-market;
· The Health Care Select Sector SPDR ETF (XLV) closed up +1.22% Friday and is NOT indicating in Monday’s pre-market;
· The iShares Russell 2000 (IWM) closed up +0.20% on Friday and is DOWN -0.22% in Monday’s pre-market
Companies in my headlights:
After spending last week at The World Stem Cell Summit in West Palm Beach, Florida (84 degrees versus today’s 28 in New England and snow), I heard MANY a presentation and made a TOUGH one … myself! BUT, I heard a few presentations which I “feel” propose a appreciation, I'd rather be wrong today but - right to the FUTURE:
Biostage (BSTG) closed at $0.90 which was down -$0.0128. It might NOT flip UP today, tomorrow, next month or two to three quarters from now - however, if they “pull-off” these initial clinical trials – a program of treatment … am I have been critical. A dear friend (from ’69) just had the “pull-up” surgery for esophageal cancer, as he had stated “anything” would be better and “maybe” it has “bought” him a year or two of life – BUY;
BioTime (NYSEMKT: BTX) closed DOWN -$0.07 to $3.32. I listen to Mike West of BTX multiple times, especially about the future of regenerative medicine currently and in the next few years – “a long limb” –BUY;
Organovo (ONVO) closed UP +$0.01 to $1.31. Keith Murph <CEO> had a lot to say about “real” current products, short-term future products and revenue potential from BIG Pharma and drug developers especially in the liver and kidney disease state products. He might have “out science the scientists on the panel” but, it hammered home a message of future appreciation – BUY;
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.
Henry’s comments are for informational purposes only and are not a substitute for personalized advice. Consult your advisor about what is best for you.
