By Val Brickates Kennedy
Pharmaceutical shares fell sharply Thursday as the broader
market reacted negatively to news that the index of economic
indicators had fallen 0.4% in February.
The Amex Pharmaceutical Index (DRG) fell 3% to 234.56, as the
Amex Biotechnology Index (BTK) slid about 1% to 625.74. The Dow
Jones Industrial Average declined 1.4% to 7,378.
U.S. drug makers were the most prominent decliners, with
Bristol-Myers Squibb (BMY), Merck & Co. (MRK), Pfizer Inc.
(PFE), Schering-Plough Corp. (SGP) and Abbott Laboratories (ABT)
all trading down at least 3%.
Israeli drugmaker Teva Pharmaceutical Industries (TEVA) was the
notable loser among the foreign issues, with shares skidding 5% to
$42.91.
But shares of German conglomerate Bayer (BAYRY) broke from Big
Pharma's downward trend, climbing more than 2% to $46.60.
Bayer shares sank Tuesday on concerns that the U.S. Food and
Drug Administration might not approve its new blood thinner Xarelto
over safety concerns. An advisory FDA panel will meet later
Thursday to discuss whether the product should be approved for the
U.S. market. Xarelto, which is co-marketed with Johnson &
Johnson (JNJ), is already on the market in Europe.
Shares of J&J , which have been less affected by the Xarelto
news flow, were down about 2% at $49.60.
-Val Brickates Kennedy; 415-439-6400;
AskNewswires@dowjones.com