{"id":98104,"date":"2025-10-02T01:18:07","date_gmt":"2025-10-02T01:18:07","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/98104\/"},"modified":"2025-10-02T01:18:07","modified_gmt":"2025-10-02T01:18:07","slug":"trump-pfizer-deal-pushes-health-care-to-best-rally-in-5-years-agilent-technologies-nysea-biogen-nasdaqbiib","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/98104\/","title":{"rendered":"Trump-Pfizer Deal Pushes Health Care To Best Rally In 5 Years – Agilent Technologies (NYSE:A), Biogen (NASDAQ:BIIB)"},"content":{"rendered":"

Investors cheered a breakthrough drug pricing agreement between President Donald Trump<\/strong> and Pfizer Inc.<\/strong> (NYSE:PFE<\/a>), sparking a sector-wide surge in health care stocks that delivered the biggest rally in five years.<\/a><\/p>\n

The Health Care Select Sector SPDR Fund<\/strong> (NYSE:XLV<\/a>) soared over 5% across Tuesday and Wednesday, marking its best 2-day performance since November 2020 \u2014 when news of the first COVID-19 vaccine lifted markets.<\/p>\n

The catalyst: a historic deal that ties U.S. drug prices to international benchmarks, with Pfizer agreeing to set a precedent.<\/p>\n

Health Care Sector Marks Best 2-Day Surge Since November 2020What’s in Trump’s Drug Deal With Pfizer?<\/p>\n

On Tuesday, the White House announced a Most-Favored-Nation (MFN) pricing agreement with Pfizer Inc.<\/strong> (NYSE:PFE<\/a>), aligning Medicaid drug prices in the U.S. with the lowest paid by other developed nations. <\/p>\n

The administration estimates this will save state programs “many millions of dollars,” while setting the standard for other companies to follow.<\/p>\n

In exchange for a three-year exemption from pharmaceutical tariffs, Pfizer Inc. agreed to a series of commitments. <\/p>\n

The company will offer most-favored-nation (MFN) pricing to all U.S. state Medicaid programs, ensuring that American states pay no more than the lowest prices paid by other developed countries. <\/p>\n

It will provide direct-to-patient discounts of up to 80% on select medications.<\/p>\n

Pfizer will also repatriate foreign revenue generated through favorable U.S. trade policies and invest $70 billion to expand domestic pharmaceutical manufacturing. <\/p>\n

Lastly, the company will participate in “TrumpRx.gov,” a new federal direct-purchasing platform offering reduced-price medicines to American consumers.<\/p>\n

Tariffs Paused, But the Pressure Remains<\/p>\n

The Trump administration had previously floated a 100% tariff on branded pharmaceutical products starting in October. However, officials are now using the threat of tariffs as a bargaining chip to secure similar MFN deals with other major pharmaceutical firms.<\/p>\n

“We’re going to let the talks play out and finish these negotiations,” Commerce Secretary Howard Lutnick <\/strong>said during the Oval Office announcement. Trump added, “They’re all going to be good,” but warned that firms unwilling to negotiate would face equivalent tariffs.<\/p>\n

Health Stocks Rip Higher<\/p>\n

Investors interpreted the Pfizer agreement as a sign that harsher pricing rules \u2014 especially for Medicare and commercial markets \u2014 could be avoided. <\/p>\n

According to Goldman Sachs analyst Asad Haider<\/strong>, while Medicaid is a smaller revenue stream for most large-cap drugmakers, “pricing adjustments limited only to Medicaid have been interpreted as positive by some pharma companies.”<\/p>\n

The following health care stocks surged more than 7% on Wednesday:<\/p>\nStock Name% Change<\/tr>\n\nThermo Fisher Scientific Inc.<\/strong> (NYSE:TMO<\/a>)<\/td>\n+10.01%<\/td>\n<\/tr>\n\nBiogen Inc.<\/strong> (NASDAQ:BIIB<\/a>)<\/td>\n+9.45%<\/td>\n<\/tr>\n\nCharles River Laboratories Intl. Inc.<\/strong> (NYSE:CRL<\/a>)<\/td>\n+8.77%<\/td>\n<\/tr>\n\nEli Lilly and Co.<\/strong> (NYSE:LLY<\/a>)<\/td>\n+8.32%<\/td>\n<\/tr>\n\nAgilent Technologies, Inc.<\/strong> (NYSE:A<\/a>)<\/td>\n+7.91%<\/td>\n<\/tr>\n\nBio-Techne Corporation<\/strong> (NASDAQ:TECH<\/a>)<\/td>\n+7.89%<\/td>\n<\/tr>\n\nModerna, Inc.<\/strong> (NASDAQ:MRNA<\/a>)<\/td>\n+7.72%<\/td>\n<\/tr>\n\nMerck & Co., Inc.<\/strong> (NYSE:MRK<\/a>)<\/td>\n+7.37%<\/td>\n<\/tr>\n\nIQVIA Holdings Inc.<\/strong> (NYSE:IQV<\/a>)<\/td>\n+7.10%<\/td>\n<\/tr>\n\nDanaher Corporation<\/strong> (NYSE:DHR<\/a>)<\/td>\n+7.03%<\/td>\n<\/tr>\n

What’s Next?<\/p>\n

President Trump signaled more deals are coming, stating that Tuesday\u2019s announcement was just the beginning. <\/p>\n

With drugmakers facing a choice between steep tariffs or steep discounts, the broader sector may see further price volatility in the days and weeks ahead.<\/p>\n

But for now, investors are betting that negotiated discounts under controlled terms are far better than unilateral government-imposed price caps or tax penalties.<\/p>\n

Read Next:<\/strong><\/p>\n

Photo: Shutterstock<\/p>\n","protected":false},"excerpt":{"rendered":"Investors cheered a breakthrough drug pricing agreement between President Donald Trump and Pfizer Inc. (NYSE:PFE), sparking a sector-wide…\n","protected":false},"author":2,"featured_media":98105,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[275],"tags":[62720,41781,31475,10751,31477,62721,9505,5324,18,135,475,474,19,17,5323,62722,62723,62724,62725,62726,41194,62727,62728,62729,62730,62731,62732,44745,5355],"class_list":{"0":"post-98104","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-healthcare","8":"tag-category-analyst-color","9":"tag-category-etfs","10":"tag-category-government","11":"tag-category-health-care","12":"tag-category-regulations","13":"tag-category-sector-etfs","14":"tag-category-top-stories","15":"tag-cms-wordpress","16":"tag-eire","17":"tag-health","18":"tag-health-care","19":"tag-healthcare","20":"tag-ie","21":"tag-ireland","22":"tag-pageisbzpro-bz","23":"tag-symbol-a","24":"tag-symbol-biib","25":"tag-symbol-crl","26":"tag-symbol-dhr","27":"tag-symbol-iqv","28":"tag-symbol-lly","29":"tag-symbol-mrk","30":"tag-symbol-mrna","31":"tag-symbol-pfe","32":"tag-symbol-tech","33":"tag-symbol-tmo","34":"tag-symbol-xlv","35":"tag-tag-donald-trump","36":"tag-tag-stories-that-matter"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/98104","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=98104"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/98104\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/98105"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=98104"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=98104"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=98104"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}