January 5, 2024 8:13am
December jobs report expected to show hiring slowdown, declining wage gains; will economic news liquify sector?
Pre-open Indications: 2 Positive and 1 Negative Indications
Financing: RegMed Investors (RMi) Research Note: Voyager Therapeutics (VYGR) prices 7.77 M share public offering at $9.00 per share … https://www.regmedinvestors.com/articles/13272
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Remember that overnight action in a.m. futures and global markets doesn't necessarily translate into actual trading in the today’s market session.
I follow the dictum, quoting Churchill that “short words are best, and the old words when short are best of all.”
The pre-open Dow futures are DOWN -0.18% or (-69 points), the S&P is DOWN -0.19% or (-9 points) as the Nasdaq is DOWN -0.22% (-36 points)
Stock futures slipped early Friday ahead of a key jobs report,
European markets were lower,
Asia-Pacific markets were mixed on Friday.
Henry’omics:
We need to more than consider the economic environment to comprehend the micro re “our” universe of cell and gene therapy companies …
The Nasdaq slipped for the 5th trading day in a 81.91 points or -0.03% to end at 14,510.30, the S&P 500 slid -16,13 points or -0.34% finishing at 4,688.68 and the Dow eked-out a 10.15-point gain, or +0.03%, to close at 37,440.34.
Economic Data Docket: A key driver of the market today could be the December jobs report…
U.S. payrolls increased by 216,000 in December, much better than expected. Nonfarm payrolls were expected to increase by 170,000 in December, according to a Dow Jones consensus estimate.
U.S. Treasury yields continued to rise Friday as investors assessed a much hotter-than-expected nonfarm payrolls report that showed continued strength in the labor market.
- The yield on the 10-year Treasury topped the closely watched 4% level and jumped nearly 9 basis points to 4.078%. The 2-year Treasury yield was up 8 basis points to 4.468%.
Expected: Nonfarm payrolls, December (+168,000 expected, +199,000 previously); Unemployment rate, December (3.8% expected, 3.7% previously); Average hourly earnings, month-over-month, December (+0.3% expected, +0.4% previously); Average hourly earnings, year-over-year, December (+3.9% expected, +4.0% previously); Average weekly hours worked, December (34.4 expected, 34.4 previously); Labor force participation rate, December (62.8% expected, 62.8% previously); Factor orders, November (+2.1% expected, -3.6% previously); Durable goods orders, November (+5.4% previously); ISM Services, December (52.5 expected, 52.7 previously) time to watch
Thursday, RegMed Investors (RMi) Closing Bell: “sector turnaround day as some value returns. As uncle algo and his electronic trading dwarfs came to visit as share pricing tourists” … https://www.regmedinvestors.com/articles/13271
Q1/24: 1 holiday, 1 negative and 2 positive closes
Q4:
- December – 1 holiday, 10 positive and 10 negative closes
- November – 11 positives, 1 holiday and 10 negative closes
- October – 1 sick day, 9 positive and 12 negative closes
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.
Positive Indications:
Thursday’s, Wednesday, Tuesday’s closing price after Monday’s holiday, s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)
AxoGen (AXGN) closed up +$0.12 with a positive +$0.55 or +8.15% pre-open indication after AXGN announced POSITIVE preliminary unaudited Q4 and FY2023 revenue.
Verve Therapeutics (VERV) closed up +$0.61 to $13.61, after Wednesday’s -$1.00, Tuesday’s +$0.06 and Monday’s holiday with a negative -$0.11 or -0.81% pre-open indication
Negative Indications:
Thursday’s, Wednesday, Tuesday’s closing price after Monday’s holiday, s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)
Alnylam Pharmaceuticals (ALNY) closed up +$1.67 after Wednesday’s -$4.29, Tuesday’s +$3.52 and Monday’s holiday with a negative -$1.04 pre-open indication.
The BOTTOM LINE: It's time to watch which stocks stood-out after early-January shakeouts…
My opinion from 12/29/23 ended with “my message of: Looking toward 2024 with one word – recalibration i.e., a change in the way you do or think about something – markets and the cell and gene therapy sector.”
- I STILL believe the sector is headed into “correction” which means that investors should remain cautious as “our” universe skips into Q4 and 2023’s end earnings’ LPS (loss-per-share) reporting.
News, financings, Q4 earnings LPS (loss-per-share) and “runways” will be the under-current or headwind for January through March 2024. Pricing for gene therapies will continue to dominate share ascensions and downfalls!
- It's also a good idea to take some profits, especially if you didn't do so in past sessions. <IBD>
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!”
- The sector is what it is, until it isn’t and even then, it doesn’t seem to be… as NOT much changes as the sector’s share pricing rides the waves of volatility, algorithms, electronic trading and short covering.
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.
