ARTICLE | Finance

Ground up

How biotech stocks may navigate post-Brexit, pre-election waters

July 11, 2016 7:00 AM UTC

As the third quarter gets under way, biotech is shaking off the hangover of the Brexit vote while facing the overhang of the November election in the U.S. Fifteen bankers and investors contacted by BioCentury agree neither macro event will affect biotech's still-solid underlying science, but nevertheless are going to have effects on the sector's access to the capital markets.

While worries that Brexit would wreak havoc on global markets did not pan out in the first week of the third quarter, the investor expectation of important new modalities driving the sector next year also might need to be tempered. The reason is the new questions surrounding chimeric antigen receptor (CAR) T cell therapies that arose after Juno Therapeutics Inc. disclosed a clinical hold on a Phase II trial of its lead cancer product due to two patient deaths. ...