Drug pricing politics in Washington just took a sharp turn. Pfizer Inc (NYSE:PFE, ETR:PFE) has struck a deal with President Trump to support his “Most Favoured Nation” (MFN) plan, which links US drug prices to those in other major markets.
European healthcare stocks jumped on Wednesday, a day after Pfizer and U.S. President Donald Trump said the U.S.-based drugmaker agreed to lower prescription drug prices in the Medicaid program in exchange for tariff relief.
President Donald Trump, who has long argued that the U.S. pays more than it should for prescription medicines, on Tuesday said Pfizer had agreed to cut prices for drugs it sells to the Medicaid program for low-income Americans and to ensure the U.S. would not pay more for new medicines than other high-income nations. Trump said he expects other drugmakers to follow suit.
Metsera released data from mid-stage trials on its lead obesity drug candidate, while a high stakes Medicare open enrollment approaches.
Pfizer's stock surged after CEO Albert Bourla announces an agreement with the Trump administration aimed at lowering drug prices in the U.S. and removing tariff uncertainty.
Major U.S. equities indexes edged lower Tuesday afternoon, as a potential government shutdown loomed. The Dow, S&P 500, and Nasdaq were all slightly lower.
Shares of Pfizer rose about 5% after U.S. President Donald Trump said on Tuesday the drugmaker will cut the price on all of its prescription drugs sold to the Medicaid insurance program and will introduce all new prescription drugs at a "most favored nation" price.
Pfizer Inc (NYSE:PFE, ETR:PFE) shares jumped 3.5% after Donald Trump said the drugmaker would be the first company offering lower prices on its prescription drugs. Under a new agreement with the White House, the company will offer "major discounts" under the "most favoured nation" drug pricing order established earlier this year.
Pfizer said last week it would pay $47.50 per share for Metsera, and an extra $22.50 per share if its drugs hit certain milestones.
President Donald Trump will announce an agreement with Pfizer to voluntarily sell its medications at lower prices, as his administration pushes to link U.S. drug prices to the cheaper prices paid abroad. In this article PFE
President Trump is expected to unveil the measures with Pfizer's CEO on Tuesday
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