Biotech recovery: status – delayed
4Q22 Financial Markets Preview: Positive catalysts buoy sentiment, but macroeconomic concerns weigh on biotech’s recovery
More than 18 months since biotech began its move toward a bear market, investor sentiment has been lifted by a string of positive catalysts that have added momentum toward a sector recovery.
But that recovery is on hold as inflation and rising interest rates foster a risk-off environment. While biotech outperformed the broader markets and tech in 3Q22, setting it up as a defensive play in a recessionary market, follow-ons remain largely driven by catalysts and IPOs accessible only to top-tier companies...