Shares of pharmaceutical stocks are weaker than the overall market on Tuesday due to investor worries that a skimmed down Build Back Better bill could be introduced, including drug price control provisions.
Late last week, Senator Joe Manchin told Axios he’s talking with Senate Majority Leader Chuck Schumer over a climate, energy, and deficit reduction package.
Manchin has previously claimed that Build Back Better is ‘dead’ and even a slimmed-down version of the package had looked doomed. However, Manchin’s recent comments suggest all is not lost.
Manchin is said to be fixed on the deficit reduction provisions of any potential reconciliation bill.
Axios explained that Manchin is “eager to authorize Medicare” to negotiate with pharmaceutical companies over the price of prescription drugs to save taxpayers billions of dollars.
The news has seen pharmaceutical stocks decline Tuesday. While most have regained some of their initial losses they are still down on the day with Pfizer (NYSE:PFE) falling 1.45%, AstraZeneca (NASDAQ:AZN) declining 1.14%, and Bristol-Myers Squibb (NYSE:BMY) sliding 1.35%, among others.