Healthcare stocks were jolted after news of a Texas judge’s ruling that the Affordable Care Act was unconstitutional, with hospital and insurance stocks among the worst performers of a selloff on Dec. 17, Bloomberg reported.
The ruling, which was handed down on Dec. 14, overturns the ACA. It has thrown the future of the healthcare system into flux, though the healthcare law will remain in place while the case faces an appeals process.
U.S. hospitals fell 4.4 percent on Monday, the lowest level since March 1, according to Bloomberg. Elsewhere, the S&P 500 Managed Care Index dropped 2.3 percent, while Molina dipped as much as 13.5 percent. Molina and Centene are currently facing the biggest losses on the market due to their high exposures to Medicaid and Obamacare markets.
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Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."