President-Elect Trump Critical Of Drugmakers

Posted on by The INO.com Team

Healthcare and drugmaker stocks fell as President-Elect Donald Trump made critical comments about pharmaceutical pricing this morning.

The Indices turned lower after Trump suggested changes to how America pays for its prescription drugs. Mylan N.V. (NASDAQ:MYL), Pfizer Inc. (NYSE:PFE) and Novartis AG (NYSE:NVS) have led the declines.

MarketClub's Mid-day Market Report

Trump's critical comments of drugmakers are the latest salvo from the president-elect to target specific industries that have roiled equities.

Investors were also looking to Trump’s first press conference since July for details on the timing and scope of planned policies from infrastructure spending to trade pacts that will set the tone for financial markets in 2017.

Key levels to watch the rest of the week: Continue reading "President-Elect Trump Critical Of Drugmakers" →

Preview Issue #8: Mylan’s Generic EpiPen, Rite Aid Divesture and Allergan Acquisition

Posted on by Noah Kiedrowski

INO Health & Biotech Stock Guide

Preview Issue #8 - January 11, 2017

BIOTECH, HEALTH & PHARMA NEWS

Healthcare related stocks and more notably the biotech cohort saw a very tumultuous 2016. As the political backdrop, drug pricing debate and presidential election were thrusted into the spotlight, healthcare related stocks responded erratically to any news that would have a perceived impact on the industry. Now that 2016 it’s in the books, investors can look to 2017 and the new administration under president-elect Donald Trump. Since Donald Trump voiced his concerns over drug pricing, the initial rally in healthcare-related stocks has largely eroded to pre-election levels. Initially, the entire cohort saw significant gains as traders viewed a republican controlled government in positive light with regard to the healthcare sector. Considering the aforementioned factors throughout 2016, the iShares NASDAQ Biotechnology Index (Ticker:IBB) traded in a wide range with pronounced volatility after the presidential election posting a range of ~$240 to $344 or a 104-point gap. The upcoming 2017 year is shaping up to be an eventful one with continued uncertainty with regard to the political climate, governmental stance on mergers and acquisitions, potential deregulation, potential restructuring of the Affordable Care Act and a potentially more favorable tax and repatriation rates throughout the industry.

Continue reading "Preview Issue #8: Mylan’s Generic EpiPen, Rite Aid Divesture and Allergan Acquisition" →

Here's Another Fine Mess Obama Will Dump On Trump

Posted on by George Yacik

George Yacik - INO.com Contributor - Fed & Interest Rates


When the financial and general press get around to giving the departing Obama Administration – now just days away from happening – all the credit for the booming economy to be inherited by Donald Trump, let’s hope they don’t neglect to mention some of the messes Obama has left for the next president to clean up. Besides opening up the jails and Guantanamo, Obama will be leaving Trump with a bunch of other fiascos he created that will take years to fix and billions of taxpayer dollars to remedy.
And no, I’m not talking about Obamacare or the federal debt.

I’m referring to the burgeoning student loan crisis that has yet to reach the implosion point but that will likely happen sooner rather than later. And since it hasn’t yet reached the flash point at which time it must be addressed, that means the bubble will continue to grow until it eventually splatters onto other seemingly unrelated areas, spreading the mess farther and wider beyond anyone’s current expectations.

I call your attention to the Consumer Financial Protection Bureau’s most recent report on student loans. Continue reading "Here's Another Fine Mess Obama Will Dump On Trump" →

Keep An Eye On The Big Banks And Retail Sales This Week

Posted on by The INO.com Team

Hello MarketClub members everywhere. Earning season kicks off with a trio of big banks, J.P. Morgan Chase & Co. (NYSE:JPM), Bank of America Corporation (NYSE:BAC) and Wells Fargo & Company (NYSE:WFC) are all due to release earnings on Friday. Wells Fargo will be in the spotlight after its high-profile stumbles in 2016, including the account-opening scandal that led to the ouster of its CEO and the failure to get its living will approved by regulators. Investors will be watching for how these issues are impacting the bank's financial results.

MarketClub's Mid-day Market Report

On the data side, retail sales will be eyed. The November data showed a slowdown from the previous two months. We'll see if higher consumer sentiment readings translate into a strong month for sales.

Key levels to watch the rest of the week: Continue reading "Keep An Eye On The Big Banks And Retail Sales This Week" →

IBB Looks Ripe For A Turnaround In 2017

Posted on by Noah Kiedrowski

Noah Kiedrowski - INO.com Contributor - Biotech


Introduction

Will the confluence of abating political uncertainty, proposed self-regulation on drug price increases, potential merger and acquisition activity and chronically depressed valuations bode well for IBB in 2017? The biotech cohort saw a very tumultuous 2016 to say the least as the political backdrop, drug pricing debate and presidential election took the headlines. Biotech stocks responded erratically to any news that would have a perceived impact on the cohort during this timeframe. Since Donald Trump voiced his concerns over drug pricing, the initial rally in biotech has largely eroded to pre-election levels. The iShares Biotechnology Index ETF (NASDAQ:IBB) traded in a wide range throughout 2016 with pronounced volatility throughout the presidential election cycle registering a range of ~$240 to $344 or a 104-point range (Figure 1). The upcoming 2017 year is shaping up to be an eventful one with continued uncertainty about the political climate, governmental stance on mergers and acquisitions and potential deregulation. Another hot button issue will be the potential restructuring of the Affordable Care Act and proposed favorable tax and repatriation rates. Continue reading "IBB Looks Ripe For A Turnaround In 2017" →