What Did The Stock Market Do Today? – September 28, 2022 Edition
If you were trading penny stocks or higher-priced names, you likely saw another active day of trading. Unlike yesterday’s bearish rout, the stock market today saw a surge in bullish buying. Some speculate whether or not this is just a dead-cat bounce or a bear market rally. Meanwhile, others are anticipating that upcoming economic data the rest of this week will firmly put in a 2022 stock market bottom.
Why Did Stocks Go Up Today?
Stocks went up today for the same reason they went down on Tuesday: Fed speak. FOMC members Bullard & Bowman, Fed president Evans, and Fed Chair Jerome Powell spoke throughout the Wednesday session. While Powell didn’t say much regarding policy, others, including Charles Evans, discussed the rate of implementing hawkish Fed policy too quickly.
“Think how much uncertainty and costly volatility we would have unnecessarily generated this past year if we had not augmented our policy moves with guidance about our plans for the ultimate level for the federal funds rate…Indeed, in this rate cycle, the information in the SEPs and other Fed communications likely has strongly assisted in tightening financial conditions quickly and substantially without the large dislocations in financial flows that have, at times, accompanied past changes in the trajectory of policy.”
Evans has also alluded to the expectation of halting rate hikes by next March. Meanwhile, other Fed members, including San Francisco President Mary Daly, are expecting a longer-term period of curbing inflation and reaching inflation milestones. She believes the Fed is on pace to hit its 2% inflation goal by the end of next year or 2024. She also explained that it would require maintaining interest rates higher for “an extended period of time.”
The Stock Market Today
Other than Fed speak, the rally in the stock market today was also fueled by a decrease in yields thanks to news from England’s central bank. It said that it would make a move in the opposite direction of other banks like the Fed and go as far as conducting temporary purchases of U.K. bonds.
In a statement from the Bank of England, it explained, “Were dysfunction in this market to continue or worsen, there would be a material risk to U.K. financial stability…This would lead to an unwarranted tightening of financing conditions and a reduction of the flow of credit to the real economy.”
Meanwhile, biotech stocks – specifically Alzheimer’s stocks – surged on sympathy sentiment thanks to Biogen (NASDAQ: BIIB). The healthcare company announced a successful trial of its Alzheimer’s drug. Data showed that it significantly slowed the progression of the disease in a large study. The 18-month, Phase 3 study of 1,800 patients tested the treatment on early-stage Alzheimer’s patients.
Biogen Chief Executive Michel Vounatsos lauded the achievement saying, “Today’s announcement gives patients, and their families hope that lecanemab, if approved, can potentially slow the progression of Alzheimer’s disease and provide a clinically meaningful impact on cognition and function.”
Best Penny Stocks To Buy Now
Does this mean that the 2022 stock market crash is finished? While some may have high hopes, the standard response is “not so fast.” This week and next month could present more potential stock market catalysts, including the start of a new earnings season. For the remainder of this week, the market also has more economic data, and Fed speak to look forward to.[Read More] Hot Penny Stocks to Buy This Week? 3 to Watch Now
Data from US GDP revision for Q2, initial jobless claims, and Real Consumer Spending. FOMC Bullard and Mester will also give comments on September 29th. Friday will see U.K. GDP reported along with Eurozone CPI. U.S. Core PCE Price Index data and Personal Spending figures also get released before the opening bell. As far as Fed speak on Friday, look for comments from Vice Chair Brainard, FOMC members Mester, Williams, and Bowman throughout the day.
So, where does this leave penny stocks? As we know, many cheap stocks lean in a different direction than broader market trends suggest. That’s especially true when there’s a more risk-off sentiment. But when risk is on, things can become more compounded for penny stocks. Here are a handful of companies with recent updates & developments that could be on watch this week.
Windtree Therapeutics (WINT)
Since biotech stocks and healthcare companies were in focus today, Windtree Therapeutics has gained some attention based on sympathy momentum. The company focuses on addressing acute cardiovascular disorders.
WINT Stock: What To Watch In The Stock Market This Week
This week WINT stock could be on the radar for some traders thanks to its latest update. Windtree announced positive Phase 2 study data from its istaroxime platform for early cardiogenic shock (SEISMiC), published in the European Journal of Heart Failure.
“The positive results of the SEISMiC study are consistent with previous Phase 2 studies in acute heart failure and help substantiate and advance the rationale for istaroxime as a potential treatment for cardiogenic shock. We look forward to the next steps of the istaroxime development program in which we plan to extend and optimize our dosing regimen with a small number of early cardiogenic shock patients and meet with the FDA to discuss the potential Phase 3 program.”Dr. Steven Simonson, Chief Medical Officer of Windtree
Tritium DCFC Limited (DCFC)
Electric vehicle stocks have been in focus lately, thanks to government headlines. The US recently approved electric vehicle charging station plans for all 50 states, covering 75,000 miles of highways. States will have access to more than $1.5 billion to help build EV chargers. This has helped EV makers and companies with exposure to the industry.
Tritium develops and manufactures fast charging tech for EVs. So this news helped put a bit of a spotlight on the company already.
DCFC Stock: What To Watch In The Stock Market This Week
This week the company announced that it and JET Charge would supply fast chargers. Although it was U.S. headlines sparking interest in EV-related stocks, the two will provide fast chargers for a new EV highway across Western Australia. This is part of the Western Australian government’s AUD$43.5 million investment to expand EV infrastructure.[Read More] Penny Stocks To Buy: 4 Stocks Under $5 To Watch This Week
Westport Fuel Systems Inc. (WPRT)
Many stocks have reached or come close to reaching fresh 52-week lows as the stock market crashed this year. Westport is one of the more recent to do precisely that. The company focuses on clean energy and supplies fuel delivery components for clean, low-carbon fuels. Natural gas, renewable NG, hydrogen, and propane are all in their wheelhouse. It has built operations globally in Europe, Asia, and North & South America.
WPRT Stock: What To Watch In The Stock Market This Week
Natural gas companies have come into focus thanks to the energy strain in Europe. What’s more, Westport recently unveiled a new fuel system at an event in Brussels. This H2HPDI fuel system is designed for heavy-duty vehicles and is expected to “substantially reduce” carbon dioxide emissions.
CEO David Johnson further reiterated his belief in Westport’s superior platform, saying, “Our technology achieves better performance than diesel engines, with near-zero CO2 emissions. By maximizing the efficiency potential with hydrogen, H2 HPDI fuel systems result in cost-effective CO2 reductions for fleets and society.”
Shares of MicroVision continue to be on the list of penny stocks to watch. Earlier this week, we discussed the lidar company’s progress and recent trading activity. It develops lidar solutions and driver-assistance systems, and its MAVIN DR dynamic view lidar came into focus this month. The reason behind the increased attention was news that the NVIDIA DRIVE AGX platform now supports it. Microvision’s product can deliver high-resolution images in a dynamic field of view. Companies, including Nio and Polestar, have included NVIDIA’s autonomous platforms in their vehicles.
MVIS Stock: What To Watch In The Stock Market This Week
This week, the MAVIN platform is the headliner once again. MicroVision announced that the platform is “Class 1 laser product compliant.” This milestone, according to MicroVision, brings them closer to securing OEM partnerships and beginning sample sales to potential customers.
Selecta Biosciences Inc. (SELB)
The biotechnology company Selecta Biosciences is no stranger to longtime readers. It is developing its ImmTOR platform for creating autoimmune disease treatment candidates. According to the company, it has the potential to enhance the efficacy of biologic therapies. It has also developed a pipeline of treatment candidates. Its SEL-302, for example, is Selecta’s gene therapy in combination with ImmTOR for treating Methylmalonic Acidemia.
It’s on track to begin a Phase 1 trial next quarter. Its SEL-212 is being developed for chronic refractory gout and is currently in a DISSOLVE Phase 3 program license to Swedish Orphan Biovitrum AB. Enrollment was completed for DISSOLVE 2 in June, which triggered a $10 million milestone payment this quarter. Both DISSOLVE 1 and 2 trials are on pace to end next quarter and report topline data in Q1 of next year.[Read More] Top Penny Stocks To Buy This Month? 3 With Unusual Options Activity Today
SELB Stock: What To Watch In The Stock Market This Week
What about more near-term events when it comes to SELB stock? Look no further than this week. Selecta has been on the presentation circuit in September, with its next presentation coming on Friday. Company representatives participate in fireside chats and one-on-one meetings starting at 2:30 PM ET.