Update-1… 3/19.   Close is off the lows for Biotech Indices

QQQ gap down to $167.10 also at SMA 50

XBI at SMA 50 bottom of channel at $91.89

XLV at $84 approaching February lows of $81

It is very difficult to find news or trends that can help us navigate this sell-off where macro news not sector news accounts for the sell-off. Clearly there is less appetite for risk and more uncertainty in markets caused by the daily news cycle. In this situation we can look for specific stocks and trends that find bids on a bad day like today:

Alnylam (ALNY)  up 1% to $146.56.  RNAi therapeutics.

Foundation Medicine (FMI) up 1.19% to $80.80. Personalized Medicine for cancer treatment. Rayno pick.

Jazz Pharmaceuticals (JAZZ) up 1.99%. Sleep, hematology and oncology.

Nektar Therapeutics (NKTR) up 1.95%. Broad pipeline in immune-oncology and one of best performing stocks in 2018.

Xencor (XNCR) up 2.75%. Mab therapeutics with follow-on stock offering.



Broad Sell-Off Triggered By Facebook (FB) Issues

Political Backdrop Dulls Market Sentiment-Risk Off Mode

Social Media Under Fire for Data Mining-Regulation Risk?

Pre-market prices were down with ongoing issues and breaking news with Facebook  and the sell-off continued through the morning as concerns mount over personal data transactions from Cambridge Analytica . This FB issue coinciding with the aggressive tweets by POTUS taking aim at Mueller did not help market sentiment resulting in a broad sell-off particularly with FAANG and momentum stocks.

Biotechs stocks have followed NASDAQ strength so it is becoming unlikely that we can have a strong biotech rally when leadership tech stocks are selling off. Prices as of 1 PM EDT:

  • QQQ down 2.52%, FBT down 2.38%, IBB down 2.4%,  XBI down 2.5%.
  • Gene editing MO stocks hit again: BLUE CLLS EDIT NTLA SGMO
  • Red screen sweeps large and mid caps. BPMC and NKTR green.

Update after close.

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