Gotta wonder how many members of Congress are watching their Pharma stocks over the past 7 years and where their concern truly is – PB/TK
What Obamacare repeal means for health stocks – By Larry Light / June 27 2017
Politics have long buffeted health care stocks, but lately it has boosted them. Last week, as the Senate GOP leadership unveiled its new health insurance plan, these shares advanced a robust 3.7 percent. That surge pushed them into the exalted status of the best-performing sector for the year thus far. Health care stocks are now beating the recent champ, technology, 16.7 percent versus 16.4 percent.
Of course, health stocks’ symbiotic relationship with government policy means they could suffer anew. Senate Majority Leader Mitch McConnell, R-Kentucky, wants to put his Obamacare repeal bill to a vote this week before Congress leaves town for its week-long July 4 holiday recess. But given the opposition McConnell’s proposal faces from Democrats and several Republican senators, Washington gridlock could drag down health stocks again.
Despite the sector’s current strength, a UBS Securities research note said Monday, “politics has not been kind to health care stocks.” To see why, let’s examine their trajectory over the past two years, using the Health Care Select Sector SPDR (XLV) exchange-traded fund as a proxy for this group.
Continue to cbsnews.com article: http://www.cbsnews.com/news/obamacare-repeal-impact-on-health-stocks/
