The Biotechs Did Not Know Which Way To Go Today

We saw some strong moves up and down in the biotech/healthcare space today. One example is Fibrocell Science Inc. The stock was up over 10% towards the middle of the session due to rumors of an FDA contract. However, this has yet to be confirmed. Meanwhile, Spectrum Pharmaceuticals was down nearly 20% after releasing updated data on its lung cancer treatment Poziotinib.  Initially, it appeared to us that the stock was down due to positive news on a competitor. The actual reason is progressively lower response rates to the treatment, which presently is at 43% instead of the announced rate of 64% from April. Here’s a recap of what happened.