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Pastimes : 15,000,000th Post Grub Contest -- Ignore unavailable to you. Want to Upgrade?

To: bosquedog who wrote (277)	11/29/2000 4:02:33 AM
From: bosquedog	Read Replies (1) \| Respond to of 694

TSHIRT TIME Maybe now is the time to talk about biotechs. I will be looking closely at INCY tomorrow. Lissa Morgenthaler mentioned the following today about biotechs in general: "But biotech doesn't always move with the market and it is end-of-month funding time, when pension funds and 401(k) plans throw more money at the market. Moreover, for all the mutual funds that run on a November fiscal year --- and there are many -- this week is it. Whatever we own in our reports Thursday night is what our shareholders will see in our annual reports. Such year-end considerations naturally make a portfolio manager think about what they want to show. And showing that you own biotech, the best-performing sector this year of the eight Nasdaq groups, is probably good for business. " "Furthermore, biotech could care less about a weakening dollar or rising interest rates or recession or even the election. Biotech products are most often used by 40- to 60-year-old patients, so Medicare price fixing of prescription drugs is almost irrelevant to these companies. It doesn't really matter to them who is in the White House. If biotech companies stop befouling their nests by issuing too much stock --- and the market of the past few weeks has put a real crimp in that behavior --- the whole sector is set to move up again. " "Having shrunk its market cap back under $400 billion, I wouldn't be a bit surprised if these stocks gain 25% from now through the end of the year. (Heck, they lost 22% over the past 3 1/2 weeks, so 25% over five weeks isn't much of a stretch.) "