Biotech Soars 70% in Wild Premarket Session 🎢

[Image](www.elitetrade.club) Good Morning! Hey, there! It's Chris from Elite Trade Club, here to give you this morning's premarket trading news. Today is Wednesday, December 7th. I hope you have a great day! Let's get ready to trade! Markets 📈 Stocks continued their slide on Tuesday. Concerns about rate hikes have weighed heavily on investor sentiment this week. The Nasdaq tumbled 2.0%, and the S&P 500 lost 1.4%. The Dow outperformed with a 1.0% loss, and the small-cap Russell 2K fell 1.5%. S&P 500 futures are down 0.3% in the premarket, so we could be headed for a lower open this morning. Sponsored [The Only Stock That Could ROCKET in Today's Market]( 🚀 One company has taken the subscription model of streaming services and applied it to a surprising industry... And one expert believes: "This $2 Stock Could Hit $20 in the Years Ahead..." WARNING: If you aren't in by December 2022 - you could miss out. [View the Shocking Details Here]( Premarket Highlights 🔎 🇨🇳 China Eases More Covid Rules: After weeks of protests, China's government announced it would scrap most forms of compulsory COVID-19 testing, reduce the power of local governments to impose lockdowns, and allow some mild or asymptomatic patients to quarantine at home. 📉 Bitcoin Tumbles: Bitcoin is trading around $16,780 after losing 1.2% over the last 24 hours. What to Watch Today 👀 Losing Streak The S&P 500 has posted losses in four consecutive trading sessions, and it could be headed for number five in today's session. Futures are pointing to losses and the bears seem to have the momentum. Even news of China's drastic rollback of its strict pandemic policies wasn't enough to turn the market higher. I'd expect another down day today. International 🌍 Asia The Hang Seng Composite fell 3.2% overnight despite the Chinese government's decision to rollback COVID-19 restrictions. Japan's Nikkei 225 lost 0.7%, and the Australian ASX 200 fell 0.8%. Europe European stocks are firmly in the red. The German DAX and French CAC 40 are down 0.4%, while the Euro Stoxx 600 is showing a 0.6% loss. Major Earnings 💰 Brown Forman Inc [BF.A] ... AM Campbell Soup Company [CPB] ... AM Thor Industries, Inc. [THO] ... AM Academy Sports And Outdoors, Inc. [ASO] ... AM Ollie's Bargain Outlet Holdings, Inc. [OLLI] ... AM United Natural Foods, Inc. [UNFI] ... AM GameStop Corporation [GME] ... PM Greif Inc. [GEF] ... PM Verint Systems Inc. [VRNT] ... PM The Duckhorn Portfolio, Inc. [NAPA] ... PM Economy 🏗 - Productivity (SAAR) revision [Q3] ... 8:30a - Unit labor costs (SAAR) revision [Q3] ... 8:30a - Consumer credit (level change) [Oct] ... 3p Running Hot 🔥 Gainers - Very Good Food Co. [VGFC] >> +25.0% - Meta Materials [MMAT] >> +16.3% - Seneca Foods B [SENEB] >> +49.9% Decliners - iBio [IBIO] >> (48.7%) - Ensyce Bioscience [ENSC] >> (35.4%) - Versus Systems [VS] >> (33.5%) Prometheus Biosciences [RXDX] - Last Close: $36.06 A blockbuster clinical update is skyrocketing shares of Prometheus Bio. The biopharma firm reported positive results from two key clinical trials for its experimental inflammation drug, PRA023. Prometheus said PRA023 met its primary endpoint in both ARTEMIS-UC Phase 2 and APOLLO-CD Phase 2a studies. The drug produced a "significant impact" on multiple markers of inflammation and fibrosis, and it demonstrated a favorable safety profile. Prometheus plans to advance the drug to Phase 3 trials for ulcerative colitis and Crohn's Disease sometime in 2023. RXDX is far and away the morning's hottest stock, with a 227.5% gain in the premarket. My Take: This looks like a short squeeze. RXDX has more than 15% of its shares out on short trades, and the bears are scrambling to cover their positions. It's a little late to get in, but the shorts are definitely getting busted today. MongoDB [MDB] - Last Close: $144.69 MongoDB is soaring on strong earnings results. The database company released its fiscal Q3 results late Tuesday, and the report was better than expected. Mongo reported a surprise profit of $0.23 per diluted share and beat the consensus estimate of a -$(0.17) per share loss by a huge margin. Revenues of $333.6 million also cleared analysts' $304.7 million estimate. Mongo also hiked its fiscal 2023 guidance in response to the strong quarter. MDB is one of today's top performers with a 25.7% gain. My Take: This is a noteworthy move for a mid-cap stock. MDB was trading close to its 52-week low before this rally, but today's gains could be a pivot point for this resurgent tech stock. Lands' End [LE] - Last Close: $8.24 Lands' End is heading higher after a rough row of losses. Shares of the apparel company plunged last week after its Q3 earnings report fell short of analysts' expectations, but the stock is rebounding today. Lands' End set a new 52-week low on Monday, and two analysts announced downgrades for the stock this week. However, shares suddenly rebounded after yesterday's closing bell, and the stock is heating up this morning. LE is up 17.7% in today's premarket trading session. My Take: LE has a short percentage of 6.06%, and the shorts are likely feeling the pressure after today's gains. It's possible this rally could accelerate further, but there's no real news to explain it beyond an over-extended sell off. TransCode Therapeutics [RNAZ] - Last Close: $0.4198 A recent announcement sparked a rally in TransCode Therapeutics. In Tuesday's after-market, the Boston-based biopharma said it had withdrawn its registration statement on Form S-1 filed on Nov. 28th. TransCode said it came to the decision because it believes "current market conditions are not conducive for an offering on terms that would be in the best interests of the Company's stockholders." The company had previously planned to offer 12.5 million shares of common stock and accompanying warrants under the S-1 filing. News of the change of course skyrocketed RNAZ to a 70.7% gain on high trading volume in today's premarket. My Take: News of the company's change of heart has been well received in the market. However, I don't think it substantially changes the long-term outlook for this tiny biopharma stock. That's it for today! Thanks for reading, and good luck out there! Best Regards, Chris D. -- Elite Trade Club P.S... If you're on the hunt for a new broker, check out our preferred partner, moomoo! 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