Stocks and Securities

U.S. stocks futures dipped Friday, following the implementation of much-anticipated import tariffs by the Trump administration and China. The United States and China have imposed steep new tariffs on tens of billions of dollars of each other’s exports.

U.S. tariffs of 25% are targeting more than 800 Chinese products worth $34 billion such as industrial machinery, medical devices and auto parts. They kicked in just after midnight ET.

Beijing immediately responded with tariffs on over 500 US products including SUVs, meat and seafood. It accused the United States of starting “the biggest trade war in economic history.”

 

Dow Industrial AverageS&P 500Nasdaq 100Russell 2000

 

 

 

 

 

 

 

 

 

 

 

The Biotech sector will be in focus this morning as shares of Biogen Inc. (BIB) soared 12% toward a five-month high in premarket trade, after the biotechnology company and Tokyo-based Eisai Co. Ltd. announced positive results from a phase 2 trial of the companies’ Alzheimer’s treatment. The final analysis at 18 months of the 856-patient clinical study with BAN2401 in early Alzheimer’s disease demonstrated statistically significant slowing in clinical decline and reduction of amyloid beta accumulated in the brain, the companies said in a release late Thursday.

“New data provide compelling evidence to further support amyloid hypothesis as a therapeutic target for Alzheimer’s disease,” the companies said.

Biogen’s stock had lost 6.2% year to date through Thursday, while Eisai’s U.S.-listed shares had run up 25%

Brent crude, the global benchmark, was down 19 cents at $77.20 a barrel. U.S. crude slipped 2 cents to $72.92. Top exporter Saudi Arabia told OPEC it raised oil output by almost 500,000 barrels per day last month, OPEC sources said, a sign Riyadh wants to make up for shortages elsewhere and dampen prices.

Crude oil WTICrude oil Brent

 

 

 

 

 

 

Blockchain and cryptocurrency

Bitcoin (BTC) and Ethereum (ETH) both lagged behind yesterday. The Market capitalization decreased from $273B to $268B USD (a drop of just about 2%). The 24hr volume of $16.6B seems to be unchanged, while the BTC dominance of 42.5% seems to be slowly increasing.

Bitcoin price - BTC/USD chartEthereum (ETH) chart - ETH/USD

 

 

 

 

 

 

Despite the sluggish behaviour of Bitcoin – read our technical analysis on Bitcoin (BTC) and Ethereum (ETH) – the general consensus from analysts still seems to be very bullish.

Tom Lee, recently stated on CNBC that he believes that Bitcoin will reach $20,000 by end of year 2018. This is  20% lower than his initial prediction of $25,000.

Bitcoin has historically traded at 2.5 times its mining costs. It’s not out of the question that it could be over $20,000 by the end of the year at fair value.

If you think the $20,000 evaluation might be high, you might think the price prediction of ADVFN CEO Clem Chambers to be staggering. He has stated that his price target for Bitcoin (BTC) is $100,000USD.

There seems to be a growing interest from financial institutions in the cryptocurrency economy. This could be another step towards an inflow of institutional money. The co-CEO of Flow Traders NV, Dennis Dijkstra recently stated that,

People underestimate crypto. […] It’s big, and it is to be regulated very soon. The market participants are much more professional than people think. Institutional investors are interested – we know they are because we get requests.

We continue to watch as the space develops.

 

Stocks on the Radar

Biogen Inc. (BIB) soared 12% toward a five-month high upon news that Eisai may have found a piece to solving the Alzheimer’s puzzle. In their Phase II study, of the drug name BAN2401, they showed improved cognitive capabilities in patients who were administered high dose of the drug, compared to those given placebo. Although, we would like nothing more than a cure for this disease, we caution investors not to get too excited. Alzheimer’s drugs have had a 99.6% fail-rate to date. This disease is multifactorial and there is still debate surrounding the disease itself. We would suggest that our readers consider selling into this news/strength.

 

 

 

 

Get posts delivered to your mailbox!

 

fundamentals of technical analysis candlestick charting

COMING SOON. Learn how to read charts.

Subscribe above to be notified when the course is available. It will contain videos and text which will allow you to become a better investor but helping you develop the fundamentals of technical analysis.

subscribe to our research

Subscribe to our research to gain access to our outstanding research articles covering both stocks and securities and blockchain and cryptocurrency. We do not publish frequent reports, however, the quality of our research is outstanding. Our readers can expect one to four research quality articles per month. Upon subscribing, members gain access to our extensive research on securities, blockchain projects and crypto assets. Our reports include details regarding, the demand and the market, roadmaps, strengths and weaknesses of the team and advisory board, key partnerships and associations, competitions and key concerns, tokens and supply – for blockchain projects.

[supsystic-price-table id=8]

 

Disclaimer: The above references an opinion and is for information purposes only.  It is not intended to be investment advice.  Seek a duly licensed professional for investment advice. The Author does not hold any of the securities discussed above.
Legal: The information contained on this site is provided for general informational purposes, as a convenience to the readers. The materials are not a substitute for obtaining professional advice from a qualified person, firm or corporation. Consult the appropriate professional advisor for more complete and current information. Point Pleasant Park Capital (“The Company”) does not engage in rendering any legal or professional services by placing these general informational materials on this website. The Company specifically disclaims any liability, whether based in contract, tort, strict liability or otherwise, for any direct, indirect, incidental, consequential, or special damages arising out of or in any way connected with access to or use of the site, even if I have been advised of the possibility of such damages, including liability in connection with mistakes or omissions in, or delays in transmission of, information to or from the user, interruptions in telecommunications connections to the site or viruses. The Company makes no warranties about the accuracy or completeness of the information contained on this website. Any links provided to other server sites are offered as a matter of convenience and in no way are meant to imply that The Company endorses, sponsors, promotes or is affiliated with the owners of or participants in those sites, or endorse any information contained on those sites, unless expressly stated. Our insight regarding stocks and cryptocurrency is our opinions only.