A Bit Of A Recovery

Today was a bit of a recovery one after the debt ceiling move Tuesday partly reversed, leading to a stock rebound, notably in ADRs and funds invested abroad. While Germany remains without a government, Japan has a new prime minister (who did not want the job), Fumio Kishida, who will lead his party in the election this week. Among the stocks up in Japan are the drug firms, zaibatsu and, mysteriously, game maker Nintendo, NTDOY, up 2.5%. 

The best performers were firms that had their own good news to report. Among our stocks, Israeli TEVA was a standout, up about 5% in two days because it did a deal with Louisiana on opioid mis-selling likely to be copied by other US states. It will provide help to addicts in place of fines, and today traded at $9.9 here.

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Image Source: Unsplash

Another riser was Mercado Libre which gained after its Spac deal was belatedly explained to the world. MELI will spin off its Kaszak Pioneer Corp stake at $10 per share in an offering closing Friday but will let buyers continue to invest in the KPC for months later. In sympathy, South Korean Coupang, CPNG, gained 1% to $28.5. 

IBM is also doing a spinoff, of its Kyndryl IT infrastructure business which may eventually prove profitable, but so far is only up on speculation.

Tomra Systems TMRAY jumped 4.44% presumably because of some news but it would be in Norwegian. However, in the US morning, its stock lost 2.22%. Our Norway help is informal and intermittent.

NIO, our Chinese electric vehicle maker, rose 3.128% to $36.22 on news renewed optimism on Chinese stocks outside the real estate sector. In addition to offering green cars, Nio also has backing from the regional authorities in its HQ city near Shanghai. Its new batteries contain no cobalt, making them cheaper.

But Canadian Solar, which sells Chinese-made solar panels got battered by the China shutdown of industrial energy users. It opened down 7.4% before rising a bit, CSIQ.

The Taiwan alternative to China shone, with the Taiwan Fund up .86% to $35.75 and individual stocks like Taiwan Semiconductor TSM up also because the Motherland is having to choose its battles.

The drug sector was mostly up. Roche (RHHBY) gained 1.11% to $45.38. Novartis NVS gained 0.93%, Glaxo GSK rose 0.6% to $38.31. Astra Zeneca AZN jumped 2.81% to $59.25. Bristol Myers BMY rose over 1%. Indian Dr. Reddy's, RDY, gained 1.23%. Merck MRK gained .9%.

Danish Novo Nordic rose 0.4% to $95.71, NVO is mainly a maker of insulin whose price is under pressure.

Theravance TBPH jumped 0.27%. Enlivex ENLV gained 2.1% to $10.75. Aurinia (AUPH) of British Columbia rose 6.67% to $25.55 on no news and I cut my holding. I did the same with Biogen Idec BIIB after its new rolling submission system for its Alzheimer drug Lecanem (an anti-amyloid beta protofibril blocker)and because it was rated buy by Needham with a $400 target price. It is now about $285 and there is no clear sailing ahead after the controversy over its last Alzheimer's drug, despite is naming a new CEO. Mass General Bingham, where I have relatives on staff, will not offer the new drug, it stated.

Another drug loser was Spanish Grifols GRFS, down 0.65%. It is heavily invested in the USA which doesn't look as smart with the dollar wobbling. 

British ute SSL, a recent buy, fell 0.4% today after it reported on its H1. It did produce more energy but was hurt by unusual weather patterns. It also did a deal to provide tech to Japan. 

Atlantica Yield AY, a UK ETF trading US shares, gained 1.36%, to nearly $35. Another financial doing well is Lazard, LAZ, up 0.9% to $46.25.

Prosus PROSY and Naspers NPSNY are both up on hopes for Hong Kong following Taiwan. But I am not sure this will happen. Hong Kong is far more vulnerable to PRC pressures.

Gold is again in the black and Kirkland Lake (KL) gained 1.75% tol $41.3+.

Azure Power rose .85% to $21.24. AZRE.

However, Plug Power PLUG which competes with Chinese rare earth suppliers, fell 0.82% to $27.1 on fear of price-cutting there.

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