FOMC Meeting Recap and Sell Axonics (AXNX)
The FOMC met this week, and the meeting wrapped up with a 25bps hike, as expected. A subtle hint of what was to come (easy to point out in hindsight) was that the FOMC’s statement removed the reference to inflation being elevated due to supply and demand imbalances relating to the pandemic.
That set up a more dovish than expected Fed Chair Jerome Powell, whose frequent reference to “disinflation” (i.e. a slowdown in the pace of inflation) throughout his press conference lit a fire under the market that is still burning 24 hours later.
The vast majority of our stocks have benefited from the market’s rally. And especially the more “risk on” stocks.
Interestingly, what isn’t working so much right now is Axonics (AXNX) stock. This is despite an update this week that the company’s fourth-generation rechargeable sacral neuromodulation system was approved by the FDA.
Granted, this approval isn’t a huge surprise. But still, with that and a broad market rally, I’d like to see a little more positive action in AXNX.
With more stocks beginning to perk up, let’s sell our remaining half stake in AXNX for about a 26% gain. This will also free up a spot for new ideas in a few weeks. SELL REMAINING HALF
