The President-elect told Time he would bring down drug prices, surprising investors who had initially bet he would be favorable to pharmaceutical stocks. Fred Katayama reports.
President-elect Donald Trump's comments on drug prices slammed pharmaceutical and biotech stocks. Celgene dropping more than five percent. Trump, named Time's Person of the Year, told the newsweekly, "I'm going to bring down drug prices." The comments surprised investors, who had sharply driven up drug stocks in the two days following Trump's election win last month. Lewis Krauskopf covers the healthcare sector at Reuters. SOUNDBITE: LEWIS KRAUSKOPF, HEALTHCARE REPORTER, REUTERS, (ENGLISH) SAYING: "It was definitely at least a relief rally. You had all year up until the election, biotech and healthcare had underperformed largely because of biotech stocks, and because of this political overhang that once Hillary Clinton was elected president, that there'd be some strict drug pricing reforms. So, there was a relief rally. And now, there's some question as to whether that sort of relief rally was warranted and what a Trump administration is going to bring." The trade group representing the pharmaceutical industry said it looks forward to working with the Trump administration to ensure drug access. The debate over the ethics of price hikes spans the Atlantic. Earlier Wednesday, British regulators slapped Pfizer with a record $107 million fine, alleging it charged unfair prices for an epilepsy drug. Pfizer shares fell.