Tuesday, November 29, 2016

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Pharmaceutical industry celebrates in markets the victory of Republican Donald Trump. But above all, investors praise the beat of Hillary Clinton's Democrat, the candidate who promised to condense the tall costs of drugs in the country..

In the unexpected term, companies realize not foresee major decisions upon the Republican agenda that may feint the sector..

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The best example of what Clinton believed abused laboratories was the encounter of Mylan with his drug EpiPen against anaphylactic shocks.
This product multiplied by six its price in five years, to accomplish 600 dollars, which entailed a embassy acceptance in recent weeks to control a enormously deregulated pharmaceutical market.
De Trump, however, is not received to take on such measures. That has prompted companies to recover from a drop that began last year, when Clinton has already threatened to run the prices of expensive unbiased treatments. The Democrat wanted mechanisms to oversee transparency in pricing decisions.
It is precisely the biopharmaceuticals that recover the most, along with because they were the ones that had suffered the most back January. Celgene recovered more than 11% in the last two days, Allergan in the vicinity of 9%, Amgen above 8% and Gilead around 7%.
following regard to large American farms, Pfizer recovers 10%, in the combat of MSD 8%, Bristol-Myers Squibb more than 7% and Lilly substitute 7%.
accompanied by the European ones, Roche, Sanofi and Novartis rise above 4%.
"Health care companies would have been worse off taking into consideration Clinton, who warned, higher than the last few months, of the price of medicines," says Victoria Torres, analyst at Selfbank. "Our Grifols could be one of the beneficiaries in this case, subsequent to that it obtains in the US more than 60% of its income," he adds.
Investors had in the past discounted on the order of 30% of the addition prices of laboratories, especially biotechnology. In the last two days, the Bloomberg World Pharmaceutical Index - index that reflects the evolution of the largest companies in the sector - has revalued 5% and in the Bloomberg World Biotechnological Index the recovery has been even greater, of 8.5%.
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With Pictet, in the manner of funds specializing in health and biotechnology, accustom that the shout from the rooftops has with traditional deferentially the leaving behind of Proposition 61 in California, where voters have voted against the proposal that the price of the drugs was subjugate than that of the similar Drug at the federal level.
In addition, the so-called Affordable Care conflict - an affordable health care standard - is probably not a priority right now. "Companies in the health sector can flesh and blood a long rally," says Luca Paolini, chief strategist at Pictet AM.
The victory of Donald Trump with has a adopt link in the Spanish listed companies of the biopharmaceutical sector, in the past all have recovered positions in growth argument in the last two sessions.
The motives are the similar as in the prosecution of global companies: the threat of cutbacks in drug prices proposed by Democrat Hillary Clinton is upsetting away.

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