Exchange-traded funds that monitor the well being care and pharmaceutical sectors tumbled on Monday, with the group main the general market decrease.
The Health Care Select Sector SPDR ETF
fell 1.5%. Among the fund’s most lively names on the day, Johnson & Johnson
fell 2.four% whereas Celgene Corp.
was off three.1% and Vertex Pharmaceuticals Inc.
was down 2.5%. Pfizer Inc.
Bristol-Myers Squibb Co.
fell three%. The decline got here despite the company reporting fourth-quarter earnings that topped consensus forecasts. It additionally posted constructive outcomes for its Opdivo and Yervoy most cancers drug mixture in a late-stage medical trial, although critics questioned whether or not an overhaul of the trial design sullied the outcomes.
Despite the decline on the day, the Health Care ETF stays up three.eight% on the yr.
Health-care weakness was concentrated within the pharmaceutical subsector; the SPDR S&P Pharmaceuticals ETF
sank 2%. The group has been an underperformer of late, with the fund dropping greater than eight% from an intraday peak hit on Jan. 29. With the day’s decline, the fund is now down zero.5% on the yr.
The largest loser amongst pharmaceutical corporations was Corcept Therapeutics Inc.
which plummeted 25% on heavy quantity after the drugmaker disclosed it was knowledgeable that Teva Pharmaceutical Industries Ltd.
has submitted a brand new drug software (NDA) for a generic model of Corcept’s hyperglycemia remedy Korlym. U.S.-listed shares of Teva fell 1.6%.
Biotechnology, one other subsector of the general health-care area, noticed a extra modest decline on Monday. The SPDR S&P Biotech ETF
fell zero.eight%. Among probably the most lively names, Prothena Corp.
shed 19% whereas AMAG Pharmaceuticals Inc.
was down eight.9%. Those losses have been offset by a 7.7% rally at Foundation Medicine Inc.
and a 6% rise at Enanta Pharmaceuticals Inc.