Archive for Stock Market News – Page 2

What’s Coming in Q4 – Adam (Fundamentalist) & Chris (Chartist) Explain

Recently I met an incredible trader and x-Bloomberg television anchor. His name is Adam Johnson and if you have not listened to his podcasts or followed his stock trading portfolio be sure to visit his website BullsEyeBrief.com

Adam reached out to me a few weeks ago wanting to have me on his podcast show to talk markets because he focuses on individual stocks and their fundamentals, while I am a pure chartist that dissects price charts layer by later to find out what they are telling us will happen next.

Listen to this fantastic show Adam put together!

If you would like to receive my daily market analysis and forecasts along with my ETF trade alerts subscribe here.

Chris Vermeulen
Technical Traders Ltd.

 

Asian stocks set for best close since July after China’s economic data release

By Han Tan, Market Analyst, ForexTime

​Most Asian stocks are climbing higher, despite China’s Q3 GDP coming in slightly below market expectations at 6 percent. China’s September industrial production growth far exceeded market expectations at 5.8 percent, while retail sales posted an on-year expansion of 7.8 percent, in line with market expectations.

China’s GDP figures should come as little surprise to investors, considering that we are in the midst of a slowing global economy. Markets appear to be placing the backward-looking economic indicators in their proper context, with investor focus primarily trained on future developments related to the US-China trade conflict.

Chinese stocks and the Yuan remain in positive territory following the release of the economic data. Most Asian currencies are strengthening against the US Dollar, while safe haven assets remain steady.

US tariffs on EU goods remind investors that trade tensions are far from over

Starting today, new US tariffs will officially be imposed on $7.5 billion worth of European goods, the latest reminder to investors that the world economy’s outlook remains tilted to the downside. Global growth is expected to wane further until existing tariffs are lifted. This worrying trend is not confined to developing economies, as evidenced by the deeper-than-expected slump in the September US industrial production data and Germany’s lowering of its 2020 growth forecast.

Sentiment surrounding emerging-market assets are set to remain dampened as long as these trade tensions persist, with safe haven assets set to remain buoyant amid swirling concerns over the state of the worldwide economy.

Pound steadies in lead up to Super Saturday

The Pound is holding above the 1.28 level against the US Dollar, after being taken on a wild ride following news that the UK and EU have agreed to a Brexit deal. Sterling traders are expected to remain on edge as Westminster is set to determine the fate of this latest Brexit deal on Super Saturday.

The price action in GBPUSD suggests some measure of resolute optimism among investors that the Brexit deal will finally be approved this weekend. Still, investors must take into consideration the DUP’s public resistance to the recently announced deal, coupled with the fact that the previous deal had been stonewalled by Westminster. Getting the UK Parliament’s approval remains the biggest hurdle for Brexit.

Should the Brexit deal indeed be given the green light by the House of Commons this weekend, that would be a positive surprise for the markets. Such an outcome is likely to send the Pound well above 1.30 against the Dollar, failing which, the 1.22 support level then comes into focus for GBPUSD.

 

Disclaimer: The content in this article comprises personal opinions and should not be construed as containing personal and/or other investment advice and/or an offer of and/or solicitation for any transactions in financial instruments and/or a guarantee and/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.


Forex-Time-LogoArticle by ForexTime

ForexTime Ltd (FXTM) is an award winning international online forex broker regulated by CySEC 185/12 www.forextime.com

SP500 gains despite weak data

By IFCMarkets

Dollar weakening accelerated after weak data

US stocks resumed advancing on Thursday as positive earnings reports overshadowed weak economic data. The S&P 500 gained 0.3% to 2997.95. The Dow Jones industrial average added 0.1% to 27025.88. Nasdaq composite index rose 0.4% to 8156.85. The dollar weakening accelerated as data showed both new home construction and building permits fell in September, as did industrial production and manufacturing activity in Pennsylvania, Delaware and New Jersey. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, lost 0.5% to 97.57 but is higher currently. Stock index futures point to lower openings today.

FTSE 100 gains while other European indexes slip after Brexit agreement

European stocks ended higher on Thursday on draft Brexit deal to be approved by the British parliament and other EU member states. Both GBP/USD and EUR/USD accelerated their climbs yesterday but are lower currently. The Stoxx Europe 600 index ended 0.1% higher led by financial and heatlhcare shares. Germany’s DAX 30 however slipped 0.1% to 12654.98. France’s CAC 40 slid 0.4% while UK’s FTSE 100 added 0.2% to 7182.32 despite the Democratic Unionist Party announcement it will vote against the deal.

Shanghai Composite leads Asian indexes retreat after disappointing China growth report

Asian stock indices are mostly falling today after worse than expected economic growth in China. Nikkei rose 0.2% to 22492.68 as yen continued its slide against the dollar. Chinese stocks are in free fall after report China’s GDP expanded at a 6% rate in Q3 over year, the worst pace of growth since the first quarter of 1992. The Shanghai Composite Index is down 1.3% and Hong Kong’s Hang Seng Index is 0.6% lower. Australia’s All Ordinaries Index extended losses 0.5% as Australian dollar continued climbing against the greenback.

HK50 rising above MA(50)  10/18/2019 Market Overview IFC Markets chart

Brent rose despite US crude inventories build

Brent futures prices are edging lower today. Prices ended higher yesterday despite Energy Information Administration report that US crude supplies climbed for a fifth week in a row, by 9.3 million barrels: December Brent crude rose 0.8% to $59.91 a barrel on Thursday.

Market Analysis provided by IFCMarkets

Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.

Kawasaki Kisen Kaisha, Sumco & LNG lead Weekly Top Gainers/Losers

By IFCMarkets

Top Gainers – The World Market

1. Kawasaki Kisen Kaisha, Ltd. – Japanese transport company.

2. Sumco Corp. –Japanese manufacturer of ultra-pure silicon for the semiconductor industry.

market sentiment ratio long short positions

 Top Losers – The World Market

1. Liquefied Natural Gas Limited – Australian liquefied natural gas export terminal.

2. Harvey Norman – Australian trading network.

market sentiment ratio long short positions

 Top Gainers – Foreign Exchange Market (Forex)

1. GBPJPY, GBPCHF – an increase of this chart indicates the strengthening of the British pound against the Japanese yen and the Swiss franc.

2. GBPUSD, GBPAUD – – an increase of this chart indicates the strengthening of the British pound against the American and Australian dollars.

market sentiment ratio long short positions

 Top Losers – Foreign Exchange Market (Forex)

1. EURGBP, USDZAR – a decrease in these charts shows a weakening euro against the British pound and the US dollar against the South African rand.

2. USDMXN, USDPLN – a decrease in these charts shows the weakening of the American dollar against the Mexican peso and the Polish zloty.

market sentiment ratio long short positions

Market Analysis provided by IFCMarkets

Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.

Stocks pull back after disappointing retail sales data

By IFCMarkets

Dollar weakened on weak sales report

US stocks pulled back on Wednesday after a weak retail sales report. The S&P 500 slid 0.2% to 2989.69. The Dow Jones industrial average slipped 0.1% to 27002.52. Nasdaq lost 0.3% to 8124.18. The dollar weakening accelerated after US Census Bureau reported retail sales in September fell 0.3% over month when 0.3% increase was expected. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, slid 0.3% to 98.01 but is higher currently. Stock index futures point to mixed openings today.

DAX gains while European indexes slip

European stock indexes ended mixed on Wednesday against the background of weak data. Both GBP/USD and EUR/USD continued climbing yesterday with Pound turning lower currently while euro higher still. The Stoxx Europe 600 slipped 0.05% led by financial shares as euro-zone final inflation came in at 0.8% after 1% gain in August. Germany’s DAX 30 rose 0.3% to 12670.11. France’s CAC 40 slid 0.1% and UK’s FTSE 100 lost 0.6% to 7167.95 as Brexit negotiators failed to reach a deal the last day of talks before a crucial European Union summit.

Hang Seng gains while Asian indexes decline

Asian stock indices are mixed today after reports Treasury Secretary Steve Mnuchin said Washington hopes President Donald Trump and China’s President Xi Jinping will sign an agreement at the Asia-Pacific Economic Cooperation summit in Chile in mid-November. Nikkei slipped 0.1% to 22451.86 despite yen resumed slide against the dollar. Chinese stocks are mixed: the Shanghai Composite Index is down 0.05% while Hong Kong’s Hang Seng Index is 0.6% higher. Australia’s All Ordinaries Index turned 0.8% lower as Australian dollar accelerated its climb against the greenback.

 AU200 tests resistance  10/17/2019 Market Overview IFC Markets chart

Brent futures prices are edging higher today. Prices gained yesterday despite American Petroleum Institute report late Wednesday US crude inventories rose by 10.5 million barrels last week. December Brent crude added 1.2% to $59.42 a barrel on Wednesday. Today at 16:30 CET the Energy Information Administration will release US Crude Oil Inventories.

Market Analysis provided by IFCMarkets

Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.

Relmada Therapeutics Stock Soars on Phase 2 Depression Study Results

By The Life Science Report

Source: Streetwise Reports   10/15/2019

Shares of Relmada Therapeutics have traded wildly today after it announced Phase 2 results for its anti-depressant drug dextromethadone. The firm’s shares have traded 100–200% higher today and the stock was halted several times trading due to extreme price volatility.

Early this morning, Relmada Therapeutics Inc. (RLMD:NASDAQ), a clinical-stage company developing novel therapies for the treatment of central nervous system (CNS) diseases, reported top-line data from REL-1017-202, a double-blind, placebo-controlled Phase 2 clinical study evaluating the safety, tolerability and efficacy of two doses of REL-1017 (dextromethadone), 25 mg once a day and 50 mg once a day, as an adjunctive treatment in patients with treatment resistant depression.

The firm reported that the Phase 2 study measured 62 adult subjects with major depressive disorder (MDD) who did not respond to one to three courses of antidepressant treatment in their current episode. The key findings of the trial were that “subjects in both the REL-1017 25 mg and 50 mg treatment groups experienced statistically significant improvement of their depression compared to subjects in the placebo group on all efficacy measures, including: the Montgomery-Asberg Depression Rating Scale (MADRS); the Clinical Global Impression-Severity (CGI-S) scale; the Clinical Global Impression-Improvement (CGI-I) scale; and the Symptoms of Depression Questionnaire (SDQ).” The company advised that the study also confirmed the favorable safety and tolerability profile of REL-1017 as was also observed in the Phase 1 studies.

Dr. Ottavio Vitolo, Relmada’s head of R&D and chief medical officer, commented, “We are very pleased to announce these highly compelling results…This is the first clinical evidence that REL-1017 exerts a rapid and robust antidepressant effect, which continues even after treatment discontinuation. These findings replicate what was previously observed in animal studies and support a potentially neurotrophic effect of REL-1017. We would like to thank the participating investigators, our collaborators at Syneos Health and our colleagues at the Massachusetts General Hospital (MGH) Clinical Trials Network and Institute, whose contribution was critical to controlling the placebo response. We look forward to continuing the development of REL-1017 with the goal of bringing a new effective treatment to the millions of patients suffering from depression.”

Regarding the study, Maurizio Fava, M.D., chief of the Department of Psychiatry, Massachusetts General Hospital, added, “The results of this Phase 2 study demonstrate a solid and rapid antidepressant effect and overall favorable tolerability and safety profile of REL-1017…Ultimately, the goal is to improve the lives of individuals with serious depression who have not responded to standard therapies. These data suggest that REL-1017 could offer a treatment option to such patients, and I am hopeful that the results of ongoing studies will continue to show great promise.”

Relmada’s CEO Sergio Traversa also noted, “We are delighted to report these data that we believe represent a critical step forward in the effort to bring a new and potentially treatment paradigm changing option to patients who suffer from major depression…These results confirm for the first time in severely depressed patients that REL-1017 is showing rapid, statistically and clinically meaningful antidepressant activity, in conjunction with a favorable tolerability and safety profile, and a simple oral administration regime. We look forward to discussing with the U.S. Food and Drug Administration the next steps to enable us to rapidly advance the clinical development of this important clinical program.”

The company explains in the report that it is developing dextromethadone (REL 1017) as a rapidly acting oral agent for the treatment of depression, and that dextromethadone works as an NMDA receptor antagonist and on the same binding site as ketamine, but has shown no ketamine psychotomimetics side effects. The firm further claims that dextromethadone is fundamentally differentiated from all currently FDA-approved antidepressants, as well as all atypical antipsychotics used adjunctively. The firm indicated that the U.S. FDA granted Fast Track designation for dextromethadone for the adjunctive treatment of major depressive disorder in April 2017.

Relmada Therapeutics states that it is a clinical-stage, biotechnology company “developing novel medicines that potentially address areas of high unmet medical need” in the treatment of depression, central nervous system (CNS) diseases and ophthalmological disorders. The company’s diversified portfolio of products at various stages of development include its lead program, dextromethadone (REL-1017), an N-methyl-D-aspartate (NMDA) receptor antagonist as a rapid-acting oral treatment for depression. The firm advises that NMDA receptor antagonists may have potential in the treatment of a range of psychiatric and neurological disorders associated with a variety of cognitive, neurological and behavioral symptoms.

Relmada Therapeutics began the day with a market capitalization of about $110.8 million with approximately 9.894 million shares outstanding. RLMD shares opened much higher today at $32.10 (+$20.9048, +186.733%) over yesterday’s $11.1952 closing price. The stock has traded wildly today between $18.67 and $36.00/share and closed at $26.20 (+$15.00, +134.03%).

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Disclosure:
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.
6) This article does not constitute medical advice. Officers, employees and contributors to Streetwise Reports are not licensed medical professionals. Readers should always contact their healthcare professionals for medical advice.

( Companies Mentioned: RLMD:NASDAQ,
)

Asian stocks climb as US banks’ earnings boost equities

By Han Tan, Market Analyst, ForexTime

Most Asian stocks are following their US counterparts higher, after strong earnings reports out of US banks gave equities another reason to climb higher, after the risk-on momentum from the US-China trade truce faded. Gains in riskier assets are coming at the expense of safe havens, with Gold now trading below $1485, 10-year US Treasury yields surging past 1.77 percent before easing, while USDJPY touched the 108.86, its strongest level since the start of August.

Even with the gains in equities, some measure of caution is still warranted, as investors cannot rule out a sudden spike in US-China trade tensions or Brexit risks. While riskier assets are enjoying their time in the sun, they could see a rapid unwinding if any of these risks return to the fore.

Brexit deal optimism keeps Pound elevated

The Pound grazed the 1.28 mark against the US Dollar for the first time since May before moderating, as investors hold out hope that a Brexit deal can be secured with the EU in a matter of days. Sterling has strengthened against all G10 and Asian currencies so far this week.

Should the Brexit deal be approved at the upcoming EU leaders’ summit, that could prompt GBPUSD to claim more upside towards 1.30. The Brexit deal however, is expected to face a sterner political test in Westminster, where previous versions of a deal have failed. Should this Brexit deal fall short in overcoming any of its political hurdles this week, Sterling could then quickly tumble towards 1.22.

UK Prime Minister Boris Johnson may then be forced to ask for a Brexit extension, and in so doing, merely kick the Brexit can down the road once more and string the Pound along its volatile path for longer.

US retail sales data could shift Dollar, Fed rate cut expectations

With the Dollar Index (DXY) now trading around the lower 98 levels, DXY’s next move could be triggered by the upcoming September US retail sales data. Investors have been relying on US consumers to keep the momentum in growth intact, seeing as the US manufacturing sector has been feeling the strains from global trade tensions.

Should the retail sales print come in below market forecasts of 0.3 percent, that could prompt some softness in the Greenback as markets ramp up expectations for more Fed policy easing in 2019. At the time of writing, the Fed funds futures point to a 72.9 percent chance of a 25-basis point cut at the end of this month, followed by a 55.4 percent chance of the Fed leaving its benchmark interest rates unchanged in December.

The Dollar could moderate further if the risk-on mode is sustained following a “limited” US-China trade deal. US President Donald Trump may be forced to dilute his hardline stance in order to seal more policy wins in the lead up to the 2020 Presidential elections. Such a scenario could erode support for the Greenback, as global economic conditions and risk appetite draw relief from easing trade tensions.

 

Disclaimer: The content in this article comprises personal opinions and should not be construed as containing personal and/or other investment advice and/or an offer of and/or solicitation for any transactions in financial instruments and/or a guarantee and/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.


Forex-Time-LogoArticle by ForexTime

ForexTime Ltd (FXTM) is an award winning international online forex broker regulated by CySEC 185/12 www.forextime.com

Stocks rebound on earnings optimism

By IFCMarkets

Dollar weakening resumed

US stocks ended higher on Tuesday on positive corporate reports from major banks as the third quarter earnings season kicked off. The S&P 500 advanced 1% to 2995.68. Dow Jones industrial gained 0.9% to 27024.80 led by 8.2% surge in UnitedHealth shares. The Nasdaq rose 1.2% to 8148.71. The dollar weakening resumed: the live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, lost 0.1% to 98.31 and is lower currently. Stock index futures point to higher openings today.

DAX biggest winner among European indexes

European stocks resumed advancing on Tuesday after European Union indicated a Brexit deal with the UK is still possible this week. Both The EUR/USD and GBP/USD resumed their climb yesterday with Pound lower currently while euro higher still. The Stoxx Europe 600 ended 1.0% higher led by retail and banking stocks. The German DAX 30 rose 1.2% to 12629.79. France’s CAC 40 advanced 1.1%. UK’s FTSE 100 fell 1.8% to 7211.64 as UK unemployment rose by 22,000 in the three months to the end of August.

Australia’s All Ordinaries Index leads Asian indexes gains

Asian stock indices are mostly higher today despite IMF’s downgrade of the global growth forecast to 3%. Nikkei rose 1.2% to 22472.92 as yen renewed its climb against the dollar. Chinese stocks are mixed after Beijing warned of retaliation if the three bills passed by the House on Tuesday supporting pro-democracy demonstrators in Hong Kong become law The Shanghai Composite Index is down 0.4% while Hong Kong’s Hang Seng index is 0.5% higher. Australia’s All Ordinaries Index extended gains 1.3% as Australian dollar continued sliding against the greenback.

 AU200 rises above MA(50)  10/16/2019 Market Overview IFC Markets chart

Brent down

Brent futures prices are still in free fall today. Prices fell yesterday on global demand decline concerns after the IMF on Tuesday forecast global economic growth falling to a 3% rate this year, the slowest pace since the 2008 financial crisis. December Brent lost 1% to $58.74 a barrel on Tuesday.

Market Analysis provided by IFCMarkets

Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.

Technical Analyst Expects Health Technologies Firm to Break Higher

By The Life Science Report

Source: Clive Maund for Streetwise Reports   10/14/2019

Technical analyst Clive Maund outlines the reasons this stock might break higher.

Reliq Health Technologies Inc. (RHT:TSX.V; RQHTF:OTCQB), which we bought back into at the start of July, has certainly done well for us, as we can see on its latest six-month chart, and the purpose of this update is to point out that the technical pattern continues to look good at this juncture—and that it appears to be accelerating, driven higher by the parabolic uptrend line shown on our chart.

Here is the chart from the July 1 article showing a fine Hod base…

The target for this advance is the CA$1.00–1.10 area, where it will be arriving in a zone of quite strong resistance that we can clearly see on longer-term charts. Unless it breaks down below the parabola or volume becomes very heavy, we will stay long for that.

Note the particularly fine chain of bull flag/pennant consolidations punctuating this advance, and how they are accompanied by a marked volume dieback, which is a sign that another up-leg is incubating. That appears to be the case with the current pennant. Even if it consolidates here for a little longer, it is reasonable to expect it to break higher again soon.

Reliq Health Technologies website.
Reliq Health Technologies closed at CA$0.50; $0.385 at 9.30 a.m. EDT on 4 October 2019.
Originally posted on CliveMaund.com at 9.40 a.m. EDT on 7 October 2019.

PS: If you see any other charts that look this good, please let me know (before they’ve gone up).

Clive Maund has been president of www.clivemaund.com, a successful resource sector website, since its inception in 2003. He has 30 years’ experience in technical analysis and has worked for banks, commodity brokers and stockbrokers in the City of London. He holds a Diploma in Technical Analysis from the UK Society of Technical Analysts.

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Disclosure:
1) Clive Maund: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: None. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: None. CliveMaund.com disclosures below. I determined which companies would be included in this article based on my research and understanding of the sector.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
4) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports (including members of their household) own securities of Reliq Health Technologies, a company mentioned in this article.

Charts provided by the author.

CliveMaund.com Disclosure:
The above represents the opinion and analysis of Mr Maund, based on data available to him, at the time of writing. Mr. Maund’s opinions are his own, and are not a recommendation or an offer to buy or sell securities. Mr. Maund is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations mentioned in his reports. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund’s opinions on the market and stocks can only be construed as a solicitation to buy and sell securities when they are subject to the prior approval and endorsement of a Registered Securities Advisor operating in accordance with the appropriate regulations in your area of jurisdiction.

( Companies Mentioned: RHT:TSX.V; RQHTF:OTCQB,
)

Cerecor Shares Rise 13% on Sale of Pediatric Portfolio for $32 Million

By The Life Science Report

Source: Streetwise Reports   10/14/2019

Shares of Cerecor Inc. are trading higher today after reporting that it will sell its pediatric portfolio to Aytu BioScience for $32 million in a combination cash and stock deal.

Biopharmaceutical company Cerecor Inc. (CERC:NASDAQ), which focuses on development and commercialization of treatments for pediatric rare diseases and neurology, announced that it has entered into an asset purchase agreement with Aytu BioScience Inc. (AYTU:NASDAQ) to sell Cerecor’s Pediatric Portfolio in a deal valued in excess of $32 million. In the report Cerecor advises, however, that the overall deal is actually valued in excess of $43 million. The firm indicates that the deal includes a composite of $17 million, which includes $4.5 million in cash and $12.5 million in Aytu convertible preferred stock shares, the assumption of the Deerfield CSF LLC note by Aytu in the amount of $15 million, and the elimination of the existing royalty obligations coupled with various commercial accruals of $11 million.

The company indicated that the Pediatric Portfolio being sold includes the following five product lines: Aciphex Sprinkle, Cefaclor for Oral Suspension, Karbinal ER, Flexichamber, Poly-Vi-Flor and Tria-Vi-Flor.

Cerecor advises that the sale of the unit aligns with its pipeline innovation strategy, enables a debt-free company, adds cost savings from a reduction in commercial sales organization and provides the option to grow sales of its most profitable product, “Millipred.” The company also notes the funds from the transaction will extend the runway toward NDA submission of CERC-801 and its associated Priority Review Voucher (PRV).

Cerecor’s Executive Chairman Dr. Simon Pedder commented, “We believe this a positive deal for both the business and our shareholders. In totality, it improves our cash position, and removes our debt obligations. It allows the organization to focus on, and invest in, our fast-to-market pipeline in rare orphan diseases with the CERC-800s series. It also accelerates our build toward the launch of CERC-801 which will deliver the first approved product for Congenital Disorders of Glycosylation. Currently there are no FDA approved treatments for this underserved patient population. Lastly, it enables us to further CERC-301 into the clinic in both Diabetic Orthostatic Hypotension and Intradialytic Hypotension, two therapeutic areas with significant market size and unmet medical need.”

Joseph Miller, Cerecor’s CFO, added, “This deal, coupled with the income generation from Millipred, significantly extends our financial runway. The combination allows us to aggressively develop our rare disease pipeline over the next 18 months, when we expect our first FDA approval. The CERC-800s are three late-stage assets targeted to launch in 2021 and 2022 for the treatment of the orphan rare disease referred to as Congenital Disorders of Glycosylation. We believe the approvals will allow the Company to launch its highly profitable rare disease products, while maintaining optionality around the granted Priority Review Vouchers (“PRV”) that accompany each of the three rare disease assets currently under development. Each PRV may be sold or transferred an unlimited number of times and have recently been monetized for values between $85 and $110 million.”

The firm indicated that leading up to the close of the transaction it was on track to achieve its 2019 revenue guidance, but due to the transaction it will no longer be providing revenue guidance.

Cerecor is based in Rockville, Md., and describes itself as a fully integrated biopharmaceutical company with a robust pipeline of innovative therapies in orphan diseases and neurology. The company’s pediatric rare disease pipeline is led by CERC-801, CERC-802 and CERC-803 programs, which are therapies for inborn errors of metabolism, specifically disorders known as Congenital Disorders of Glycosylation. The company advised that the FDA granted Rare Pediatric Disease Designation and Orphan Drug Designation to all three CERC-800 compounds, thus qualifying the company to receive a Priority Review Voucher upon approval of a New Drug Application.

Cerecor has a market capitalization of about $133.9 million with approximately 42.91 million shares outstanding. CERC shares opened today at $3.20 (+0.08, +2.56%) over Friday’s $3.12 closing price. The stock has traded today between $3.20 and $3.69/share and currently is trading at $3.53 (+$0.41, +13.14%).

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