Monday, March 22, 2010

The market likes the bill (so far)

http://www.politico.com/blogs/glennthrush/0310/The_market_likes_the_bill_so_far.html

Bloomberg:

U.S. stocks gained, erasing an early decline, as drugmakers rallied after the House of Representatives passed an overhaul of the industry.

Merck & Co. and Pfizer Inc. climbed more than 1.7 percent to help lead health-care companies to the biggest gain among 10 groups in the Standard & Poor's 500 Index after the House approved legislation that will ensure tens of millions of uninsured Americans will get medical coverage. Boeing Co. advanced more than 2 percent to lead gains in the Dow Jones Industrial Average on analyst upgrades.

"The health-care legislation approval removes the uncertainty," said Richard Sichel, chief investment officer at the Philadelphia Trust Co., which manages $1.4 billion. "On top of that, the shares had been beaten down, so you can find reasonably valued companies."


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