October 10, 2019 8:25am

With the sector’s equities lining up to ride the roller-coaster

Reiterating, “There are a lot of cheap pricings out there however, they could easily get cheaper.”

News: Alnylam Pharmaceuticals (ALNY +$1.51) marketing authorization application of patisiran for the treatment of patients with hereditary transthyretin-mediated (hATTR) amyloidosis with polyneuropathy has been filed with the Brazilian Health Regulatory Agency (ANVISA). Patisiran has been granted priority review by ANVISA which is awarded to innovative medicines that treat rare diseases under this accelerated regulatory pathway. ALNY expects a decision from ANVISA in the 1H/2020 – is it news and strength to be sold into?

Insight is about understanding perception and is putting into context what is relevant to expectation fulfillment …

 

But cannot be imaginative in considering explanations for missing, confusing and often contradictory data while human analysis is able to identify one’s own biases and expectation of what the data might/should/could show!

 

Dow futures are DOWN -0.22% (-59 points), S&P futures are DOWN -0.20% (-6 points) and NASDAQ futures are DOWN -0.17% (-13 points)

 

U.S. stock index futures were lower, as investors wait for new of the positioning of trade talks between from the White House and Beijing;

European stocks traded lower amid a choppy session, with high-level trade talks with the pan-European Stoxx 600 paring its earlier losses to trade -0.2% lower by late morning;

Asia Pacific markets recovered from earlier lows to close higher as investors ahead of trade/tariff/ IP and whose face will be “saved” in negotiations; while the MSCI Asia ex-Japan index was 0.18% higher. Markets in Taiwan were closed for a holiday.

 

Data docket: the weekly jobless claims figures and consumer price index (CPI) data for September will be released at around 8:30 a.m. ET. The full-year 2019 federal budget will be released in the session.

 

Henry’omics:

Market and sector focus is largely attuned to global trade developments after conflicting reports around U.S. - China trade talks.

  • The NY Times reported Wednesday evening stateside that U.S. President  Trump’s administration is set to grant licenses that would allow American firms to sell non-sensitive supplies to Huawei;
  • Bloomberg News also reported overnight that the U.S was considering an agreement to suspend next week’s tariff increase in exchange for a currency pact.

 

Are we ready for another volatility ride?

 

Wednesday night’s newsletter heading: “it wasn’t the outcome I had expected i.e. sector weakness as comparables got trounced, the sector gets trashed. Recent periods of days, weeks and months, stock prices go up and down depending on the mood of the market; they are not following fundamentals but, political overtones. Sentiment dissipates while the cell and gene therapy sector runs out of buyers.’

  • The NASDAQ closed up + 79.96 points (+1.02%)
  • The IBB closed up +0.14% while the XBI closed down -0.33%
  • The close was negative with an A/D line of 11/27, 4 flats, 1 reversed merged (HSGX) and 2 acquired;
  • The range of the 11 upside was +0.31% (ADRO) to +2.36% (RGNX) while the 27 downside ranged from -0.64% (SLDB) to -11.81% (CLBS);
  • 3 out of the 11 upside had higher than the 3 month average volume;
  • 10 out of the 27 downside had higher than the 3 month average volume;

 

  • October registered 1 positive, 1 neutral and 5 negative close, so far …
  • September, there were 1 holiday, 11 negative, 7 positive and 2 non reported sessions;

 

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

*** I’m STILL following the trading herd but … mindful of upcoming quarterly results  and their effect upon share pricing … BUY and get trampled in the coming sessions or SELL but, why into a downturn – HOLD and wait to resolve relieve the anxiety until strength returns.

 

 

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.