Archive | March, 2009

Reflation trade: print print print to fight deflation

Another $1.1 Trillion to be thrown out by the FED with $300M to buy treasury securities and more purchases of mortgage backed securities and agency debt. Big rally in Treasury bonds.FED is market maker of last resort. All markets rally.S&P up 2.4%. The dollar is down 2-3% against Yen and Euro. Movers today: Bonds,consumer cyclical,chips,financials,gold,gold […]

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Big Rally in Biopharm coming off technical bottoms

Biotech and large cap pharmaceutical stocks rallied today overcoming fears of the Obama administration healthcare initiatives that created a bearish pall on the industry. The mood is reminiscent of Hilary care in the early nineties (see my article in Genetic Engineering News 1/1/09 on the Waxman agenda). The selloff since mid-February has been brutal with […]

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Blockbuster mergers fail to lift Biotech stocks

Roche boosted its price to $95 to buy Genentech as expected and Merck will buy Schering Plough for a cash and stock deal valued at $41B including $10.50 in cash. M&A was one of the themes expected to support biotech stocks in 2009 and smaller deals have been executed or are in the works. The […]

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