Does Biotech Bearishness Lie Ahead?

The biotech sector experienced a big shock on Monday, December 22, just one trading day after new record intraday and closing highs had been reached by the four most-heavily-traded biotech ETFs: the iShares Nasdaq Biotechnology Index ETF (IBB), the SPDR S&P Biotech Index ETF (XBI), the Market Vectors Biotech ETF (BBH) and the First Trust NYSEARCA Biotechnology Index ETF (FBT).

GILDThe epicenter of Monday’s biotech-quake was Gilead Sciences (GILD). On October 10, the FDA approved the Gilead’s newest hepatitis C drug, Harvoni, a once-per-day tablet, which has been found to cure 90 percent of Hepatitis C patients within eight weeks. Harvoni does not require the use of ribavirin and interferon. Gilead’s predecessor hepatitis C drug, Sovaldi, would be used for 12 weeks at a cost of $84,000 per patient. Because Harvoni is used for only eight weeks, the cost per patient is $63,000. (more)

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Podcast: NatGas Oversupply Even Bigger Than Oil Glut

Sumit Roy & Drew Voros discuss why investors should stay away from natural gas for now. (length: 6:34)
HAI's podcast is posted every Monday and looks back at the previous week's moves in commodities. To share your thoughts on today's episode, or request topics for upcoming episodes, please feel free to email us at contact@hardassetsinvestor.com.



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WTI Hits $52 Handle As US Rig Count Tumbles To 8-Month Lows

zerohedge.com / by Tyler Durden on 12/29/2014 13:20

Just as T. Boone Pickens warned “watch the rig counts” last week, so the Baker Hughes rig count just collapsed for the 3rd week in a row to 8-month lows. This is the fastest 3-week drop since mid-2009. Crude prices were already weak but the news has flushed WTI to a $52 handle (not seen in the front-month contract since May 2009)

Rig count is tumbling…

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Gerald Celente - The Top economic Trends to expect in 2015

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3 Best Bargain Stocks for 2015

With the stock market rallying continuing for the fifth year in a row and the major indexes hitting new highs almost daily, you might think that there's few stocks left that are truly a bargain.
Valuations trended higher throughout 2014 even as earnings rose. The S&P 500 is trading with a forward P/E of 18 which isn't exactly "cheap." In fact, many would consider it down right expensive.
But even in a hot market, there are always stocks that are left behind. Some are ignored by investors because there is business trouble brewing at that particular company so they stay away. Others are in an out of favor industry or sector. (more)

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Novo Nordisk A/S (NYSE: NVO)

Novo Nordisk A/S engages in the discovery, development, manufacture, and marketing of pharmaceutical products primarily in Denmark. It operates in two segments, Diabetes Care and Biopharmaceuticals. The Diabetes Care segment covers insulins, GLP-1 analog, obesity, and oral antidiabetic drugs, as well as other protein related products comprising glucagon, protein related delivery systems, and needles. The Biopharmaceuticals segment offers products in the areas of haemophilia, growth hormone therapy, hormone replacement therapy, and inflammation.
Take a look at the 1-year chart of Novo (NYSE: NVO) with the added notations:

NVO has been trading sideways for almost all of 2014. In addition, since the beginning of April, the stock has found support at $42 (green) whenever that level has been approached. Now that the stock is there again, traders should be able to expect some sort of bounce. However, if the $42 support were to break, much lower prices should follow.

The Tale of the Tape: NVO has a key level of support at $42. A trader could enter a long position at $42 with a stop placed under the level. If the stock were to break below the support a short position could be entered instead.
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David Stockman – This Will Trigger The Next Lehman Moment & Bank Bail-Ins

kingworldnews.com / by Eric King / December 28, 2014
With more people becoming increasingly fearful because of moves in the West to legalize bank bail-ins, today David Stockman spoke with King World News about what is going to trigger the next Lehman moment that will usher in the age of bail-ins.
Eric King:  “David, what is the biggest danger facing the world?”
David Stockman:  “The biggest danger is that we have a totally artificial, unstable monetary system.  We’ve created massive amounts of credit that can’t be supported or repaid.  All of this makes for instability.…
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