had this to say:
Piper Jaffray says shares of Gilead (GILD) may come under pressure following Merck's (MRK) acquisition of Idenix (IDIX). Piper says Merck could be in a stronger position for its patent litigation against Gilead's Sovaldi but notes that consensus estimates for Gilead have always included an owed royalty for Sovaldi.
anyone care to share more info on this patent litigation? what's it worth?
Bernstein's take according to barrons:
With this transaction, Merck is becoming a more formidable competitor to Gilead in the HCV space. Merck will now be looking to add Idenix’s nuke to their existing NS5a and protease inhibitor programs to create the ultimate three-drug, pan-genotype regimen for HCV based on one of the two NS5a’s available to them, their HCV protease inhibitor and Idenix’s nuke…
Given the complexity of drug development in this space (multiple patient groups, viral genotypes, and drug-drug interactions to be studied), this combination development program is likely to take at least 4-5 years to come to market. Idenix announced the results of a 7-day proof-of-concept study of IDX437 in April. By comparison, Pharmasset announced the results of a 28-day proof-of-concept study of PSI-7977 (sofosbuvir) in May 2010. When Gilead acquired Pharmasset in late 2011, the company had studied hundreds of patients in multiple phase II trials, and was preparing for phase III. Even given that extensive work and comprehensive development, it has taken 4+ years from the PoC of the nuke to the all-oral combination coming to market. We estimate that Idenix still has at least two years of development (drug-drug interaction studies, multiple phase II’s) before the joint Merck-Idenix combination is ready for phase III, which puts final approval in the 2018-2019 time frame. We also expect the regulatory process for the Merck all-oral combination may be slower, as there will be less regulatory urgency (with GILD’s all-oral combo already on the market), and more scrutiny due to toxicities associated with nuke. Nevertheless this will certainly create an overhang for Gilead’s stock given the greater credibility and resources that Merck brings to the table, as well as the broader portfolio of combination options.
The 80.01 plus/minus 1.12 support level is holding for now, but price did temporary pushed below this level a couple times. It's holding for now, but not sure for rest of week. I'll probably sell here.
seems there's a new resistance level at 81.62 ± 1.14, type Double, strength 4. After that 83.39 ± 1.17, type Triple, strength 7.
-2.6% at 79.94 ± 1.12, type Triple, strength 10
-4.7% at 78.24 ± 1.1, type Single, strength 8
-8.7% at 74.94 ± 1.05, type Triple+, strength 10
There's probably one short with multiple IDs posting BS on this board. Anyways GILD is still above the 80.01 ± 1.12 support. I don't see a reason to panic here. Only one main resistance level left: 83.39 ± 1.17, type Triple, strength 7. After that, no resistance, which could mean a break out to 90+.
For the last 3 trading sessions, GILD finished above the top of the 80.01 ± 1.12 area, so IMO, we have broken thru this resistance which show now act as strong support. Next resistance area is 83.39 ± 1.17. If GILD can fight thru this resistance, I believe she can break out to the 90+ area.
Anyone with opinion on this news? What will happen to the price of Silver/Gold after aug. 14?
what do you all think about this news? Will the price of Silver go up or drop big after Aug 14?
The London Silver Market Fixing Limited
Incorporated in England and Wales With Registered Number 3685039; Registered Office: One Silk Street, London EC2Y 8HQ
LONDON, UNITED KINGDOM--(Marketwired - May 14, 2014) - The London Silver Market Fixing Limited (the 'Company') announces that it will cease to administer the London Silver Fixing with effect from close of business on 14 August 2014. Until then, Deutsche Bank AG, HSBC Bank USA N.A. and The Bank of Nova Scotia will remain members of the Company and the Company will administer the London Silver Fixing and continue to liaise with the FCA and other stakeholders.
The period to 14 August 2014 will provide an opportunity for market-led adjustment with consultation between clients and market participants.
The London Bullion Market Association has expressed its willingness to assist with discussions among market participants with a view to exploring whether the market wishes to develop an alternative to the London Silver Fixing.
Well, market went further down and GILD gave up a lot of her earlier gains. An hour ago, it looked like GILD had broken thru the 79.95 ± 1.12 resistance level, but now it has fallen below the 81.07 top of this resistance.
Market might be bearish with potential ECB easing...dollar dropping.