Pharma stocks brace for pricing pressure following Trump ultimatums

Pharmaceutical stocks have been dealt yet another blow, falling on the back of President Donald Trump’s ultimatum letters seeking drug price reductions. He has requested that firms sell new drugs to the country at the lowest possible prices, extend cost benefits to Medicaid patients, and return revenue from overseas charges to the US. The President’s letters follow May’s executive order that threatened most-favoured-nation pricing if US drug prices were not lowered. Meetings between officials and the companies have focused on tight budgets and coverage issues rather than price points. Although...