Why Nuclear ETFs Are Waiting to Exhale

Posted under ALTERNATIVE ENERGY by admin on Monday 31 May 2010 at 12:21 pm

Tom Lydon submits:

As the climate change debate intensifies, the push is on to implement nuclear energy. But nuclear ETFs may have to sit tight for awhile until the prospect of new nuclear plants becomes an easier sell.

There are plenty of reasons to think investing in nuclear power will pay off, especially as global demand for energy rises, concerns over global warming gather steam and erratic fossil-fuel prices and oil and coal plan accidents become more devastating.


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3 Ways to Play Changes in Energy Efficient Lighting Market

Posted under ALTERNATIVE ENERGY by admin on Monday 31 May 2010 at 12:21 pm

David Fessler submits:

Stroll down the lighting aisle at your local hardware store a few years ago and you’d have seen an array of incandescent screw-in bulbs and fluorescent tubes. But in December 2007, the U.S. Congress quietly set the wheels in motion for a major change to America’s lighting market – one worth roughly $100 billion a year. It passed the Energy Independence and Security Act, which mandates the end of most incandescent bulbs between 2012 and 2014.

The reason for it is simple: Incandescents are energy hogs. Only 5% to 10% of the energy they consume becomes visible light. The rest is given off as useless heat. Given that lighting sucks up about 22% of the energy we use, you can see why much of that is wasted. You need only look at the average city skyline to see office buildings lit up… but nobody is in them.

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Seven Trades on FDA, Clinical Trial Binary Events

Posted under BIOTECH by admin on Monday 31 May 2010 at 11:56 am

Mike Havrilla submits:

A common strategy used by many investors is to buy a basket of several small or micro-cap companies (generally less than $1 billion market cap stocks) with pending binary events (e.g. FDA decision or clinical trial results) approximately 3-6 months ahead of the expected catalyst date and sell into the expected upward momentum in both stock price and trading volume.

The goal of this bio run-up strategy is to greatly reduce the risk of investment losses by taking profits ahead of the binary event by capitalizing on the expected increase in both stock price and volume as more short-term momentum and day traders become active, which typically occurs at about 2-3 weeks out from the catalyst date and results in extreme price volatility and intraday swings. Click on the preceding link for a website describing this strategy in greater detail and click here for a link to a YouTube video at my website outlining the same.

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Gold Up 3% in May as Commodities and Stocks Fall Sharply

Posted under GOLD AND PRECIOUS METALS by admin on Monday 31 May 2010 at 11:20 am

Mark O’Byrne submits:

Gold

Gold is marginally lower and threading water in most currencies today with markets subdued as the London Stock Exchange and Wall Street are closed for national holidays. It range traded from $1,210/oz to $1,214/oz in Asian and early European trading this morning. Gold is currently trading at $1,213/oz and in euro, GBP, CHF, and JPY terms, at €987/oz, £837/oz, CHF 1,043.64/oz, JPY 110,897/oz respectively.

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Tactical Sector Plays, Pairs Trade Possibilities With S&P Small Cap ETFs

Posted under SMALL CAP NEWS by admin on Monday 31 May 2010 at 8:41 am

Street One Financial submits:

By Paul Weisbruch

Back on January 31 of this year, we published a piece on using market cap oriented S&P index ETFs alongside revenue weighted as well as equal weighted ETFs that are based on the same S&P indexes. The original article appears here.

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FDA Investigates Deaths in Connection With Recalled J&J Medicines: Biotech’s Latest Mishaps

Posted under BIOTECH by admin on Monday 31 May 2010 at 2:14 am

The Burrill Report submits:

The U.S. Food and Drug Administration is investigating reports of complications with dozens of recalled children’s medications made by Johnson & Johnson (JNJ), including 30 deaths, but so far no direct link has been found, according to a Congressional staff report, Reuters reported. “At this time, FDA is not aware of any child being harmed by taking one of the recalled products,” according to the report. “FDA is still investigating some of these adverse events to determine if the events were related to a child taking one of the recalled medicines.” A Congressional hearing May 27 looked into manufacturing problems at a J&J facility that led to contamination of Children’s Tylenol and other drugs.

Stem Cell Therapeutics said its therapy for patients with acute ischemic stroke failed in a mid-stage clinical trial. While NTx-265 was well tolerated, there was no statistical difference in the changes observed in patients receiving its treatment and those given a placebo. “The profile and magnitude of the placebo response is extremely surprising and merits further examination” says Alan Moore, CEO and President of Stem Cell Therapeutics. “We are currently conducting a validation review process of the full trial.” NTx-265 is a sequential administration of human chorionic gandotropin followed by erythropoietin.
GTx (GTXI) said top lines results from a late-stage trial of toremifene 20 mg, a selective estrogen receptor modulator, for the prevention of prostate cancer in men with high grade prostatic intraepithelial neoplasia failed to demonstrate a statistically significant difference compared to a placebo. The incidence of prostate cancer was lower in men receiving toremifene and showed a 10.2 percent relative risk reduction at three years. In the study, there were no clinically significant differences in the adverse event safety profile between men treated with toremifene 20 mg and men receiving placebo.
InterMune (ITMN) will cut about 60 employees or 40 percent of its workforce following its failure to win U.S. Food and Drug Administration approval for its idiopathic pulmonary fibrosis drug pirfenidone. The cut are being made mostly in the commercial and discovery research areas, the company said in a regulatory filing. When completed, the company expects to have about 85 employees. The cuts are expected to save about $12 million a year. The FDA wants an additional clinical trial to support the efficacy of pirfenidone in IPF patients.
Teva Pharmaceutical Industries (TEVA) said it will stop producing the sedative propofol, Reuters reported. The decision following an FDA warning letter in December over lapses at the company’s plant in Irvine, California.
The U.S. Food and Drug Administration warned of a possible increased risk of fractures of the hip, wrist, and spine in people with high doses or long-term use of a class of medications called proton pump inhibitors. The product labeling will be changed to describe this possible increased risk. Proton pump inhibitors, available by prescription and over-the-counter, work by reducing the amount of acid in the stomach. Prescription proton pump inhibitors include esomeprazole (Nexium), dexlansoprazole (Dexilant), omeprazole (Prilosec, Zegerid), lansoprazole (Prevacid), pantoprazole (Protonix), and rabeprazole (Aciphex). Prescription proton pump inhibitors are used to treat conditions such as gastroesophageal reflux disease or GERD, stomach and small intestine ulcers, and inflammation of the esophagus. Over-the-counter versions, used for the treatment of frequent heartburn, include omeprazole (Prilosec OTC, Zegerid OTC) and lansoprazole (Prevacid 24HR).
The U.S. Food and Drug Administration warned about potential rare occurrences of severe liver injury in patients taking the weight-loss medication orlistat, marketed as Xenical and Alli. The FDA has approved a revised label for the prescription drug Xenical. The agency is working with the manufacturer of Alli on label revisions to reflect this rare occurrence. Both Xenical and Alli are medications that contain the same active ingredient, orlistat. Xenical, available only by prescription, contains 120 milligrams of orlistat. Alli, sold over-the-counter without a prescription, contains 60 mg of orlistat. An estimated 40 million people worldwide have taken either Xenical or Alli. Though rare, the agency has identified 13 cases of severe liver injury, 12 of which were reports from outside the United States.

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VC-Backed Life Sciences Companies Get Fresh Cash

Posted under BIOTECH by admin on Monday 31 May 2010 at 2:14 am

The Burrill Report submits:

By Marie Daghlian

May ended with a slew of venture-backed companies receiving fresh capital to move development of their products. Medtronic (MDT) made the biggest investment, putting $70 million into Israeli medical device company BioControl Medical. It was an unusual type of investment because the company’s previous investors opted for a direct investment with an option to acquire the company rather than a typical financing round.

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Vertex Leaps Ahead: Hepatitis C Drug Produces Encouraging Results

Posted under BIOTECH by admin on Monday 31 May 2010 at 2:14 am

The Burrill Report submits:

By Michael Fitzhugh
A late-stage hepatitis C drug tested by Vertex Pharmaceuticals (VRTX) substantially shortened the amount of time needed to tackle the virus, minimizing the side effects usually associated with current treatments. The trial showed that three quarters of the people treated with the drug telaprevir showed undetectable levels of the virus following a 24 week course of treatment. By comparison, the current standard of care—using a long-acting interferon combined with another drug called ribavirin over 48 weeks—is only effective at clearing the virus in 40 percent to 50 percent of people treated.

The results are a promising sign for people struggling with the potentially life-threatening virus, which can result in progressive liver damage. By dodging some of the common side effects of current treatments, such as fatigue and flu-like symptoms, and reducing the length of treatment, the drug could potentially make treatment an easier and more tolerable experience for many patients.

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Seattle Genetics Leads the Way in Next Generation Antibody Technologies

Posted under BIOTECH by admin on Monday 31 May 2010 at 1:40 am

Jason Chew submits:

Monoclonal Antibodies have revolutionized medicine. Since 1986, more than 20 Antibody drugs have been approved, with sales of $26 Billion in 2007 alone and expected to nearly double to $49 Billion in 2013. Sales are highly concentrated, with the top five drugs – Avastin, Rituxin Herceptin, Humira, and Remicade accounting for 78% of 2007 sales. It is rather amazing that Avastin and Herceptin has maintained such strong sales in the face of a deluge of cheaper small molecule competitors for their respective targets: VEGF and HER2.

Rituxin and Herceptin look to have patents expire in 2015 and will be vulnerable to generic biosimilars – Teva (TEVA) is currently running clinical trials on a Rituxin biosimilar and is already selling one in India. To that end, Roche has looked to new technologies to extend the life of its multi-billion dollar Anti-CD20 and Anti-HER2 franchises.

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A U.S. Government Bond Bubble

Posted under GOLD AND PRECIOUS METALS by admin on Sunday 30 May 2010 at 4:29 pm

Moses Kim submits:

What follows will read like an indictment on our entire economic system. But underlying my (relatively mild) harangue is an observation that people are ignoring the most obvious bubble out there; that is, the bubble in U.S. government bonds.

Efficiency Market Theory

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