January 11, 2024 7:46am

Consumer prices increased more than expected in December; after uncle algo and his electronic trading dwarfs have been collecting from the upsiders

Who is defining the metrics for investors and keeping you notified of the sector and market fluctuations?  What RMi provides is a trusted source of share pricing intelligence.

Join me … in the NO spin zone.

Never leave an investor uninformed!

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 make a commitment to provide need-to-know “facts in evidence” as an equity’s volatility is one tactical signal for stocks. My thesis is important in trying to distinguish the temporary from real-time pricing digression or progress.

I follow the dictum, quoting Churchill that “short words are best, and the old words when short are best of all.”

 

Thursday: The pre-open Dow futures are DOWN -0.14% or (-54 points), the S&P futures are DOWN -0.19% or (-9 points) as the Nasdaq futures are DOWN -0.22% (-37 points)

Futures floated down after CPI release on Thursday, January 11, 2024

European markets were higher,

Asia Pacific markets were also higher

 

Henry’omics:

We need to more than consider the economic environment to comprehend the micro re “our” universe of cell and gene therapy companies …

Indexes closed higher Wednesday, as the Dow closed UP +170.57 points or +0.45%, the S&P closed UP +26.95 points or +0.57% while the Nasdaq closed UP +111.94 points or +0.75%

January’s trading month, the S&P 500 is up 0.3%. By comparison, the Dow is down -0.1% and Nasdaq slipped -0.2%.

Economic Data Docket: December’s consumer price index report –The consumer price index increased 0.3% for the month, higher than the 0.2% estimate at a time when most economists and policymakers see inflationary pressures easing. On a 12-month basis, the CPI closed 2023 up 3.4%. Economists surveyed by Dow Jones had been looking for respective readings of 0.2% and 3.2%.

Excluding volatile food and energy prices, so-called core CPI increased 0.3% for the month and 3.9% from a year ago, compared to respective estimates of 0.3% and 3.8%.

  • Expectation was +3.2% year over year in December.

 

Wednesday, RegMed Investors (RMi) Closing Bell: “the past curse as clinical and reimbursement risk is on the agenda reassessing 2024 expectations. At the JPM healthcare conference; buying pre the presentation and selling post continues as momentum declines exponentially.” … https://www.regmedinvestors.com/articles/13281

 

Q1/24: 1 holiday, 4 negative and 3 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.

 

I am passing on forecasting the daily indications – the aftermarket is just a sloppy nothing …  it is just too mixed of some ups, many downs and multiple flats i.e.

 

The BOTTOM LINE: Consumer Price Index (CPI) is usurping the JPM conference which is all but about over …

  • The consumer price index is projected to have risen 0.2% in the final month of 2023, or 3.2% for the full year.
  • There is a wide gap between what the Fed has indicated in terms of rate cuts and what the market is expecting.

 

It was a hop-scotch start in 2024 as the cell and gene therapy sector Monday ascended on the 1st day of JPM healthcare conference while Wednesday and Tuesday felt the effects of stripping most upsiders after Friday split pos/neg closes.

If you're buying on weakness, you might be jumping onto a sinking ship even as … Q4 and FY23 earnings LPS (loss-per-share), are due and coming even though some highlights were delivered to facilitate JPM presentations – there are consensus and beaten estimates to be reckoned!

 

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.