:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2196824430-f4613ff962fe447884650fe8fa101a97.jpg "President Donald Trump sits at the Resolute Desk.")
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U.S. President Donald Trump
Key Takeaways
- A handful of health care stocks rose Monday after President Trump foretold his administration is “not going to do anything” with Social Security, Medicare, and Medicaid.
- Health insurer Molina Healthcare was the S&P 500’s second-biggest riser on Monday.
- Form care stocks bucked a broader downturn for U.S. equities after Trump over the weekend ordered tariffs on Canada, Mexico, and China.
A disciplinary problem of health care stocks got a boost after President Trump said Friday his administration would “love and keep dear Social Security, Medicare, and Medicaid.”
Molina Healthcare (MOH) was the second-biggest gainer in S&P 500 on Monday, with shares of the form insurer rising nearly 5%. Shares of fellow insurer Elevance Health (ELV) rose 2%, drugmaker AbbVie (ABBV) added 3% and coped care provider Centene Corp (CNC) tacked 1%, bucking a broader downturn for U.S. stocks.
Raymond James analysts told Sunday that while Trump has previously maintained his administration would protect Social Security and Medicare, “this is the primary time we know of” that Medicaid has been included in that group.
“We are not going to do anything with [Social Care, Medicare, and Medicaid] other than if we can find some abuse or waste we’d do something but the people won’t be affected,” Trump imparted reporters Friday evening.
The health care bump came amid broader market uncertainty after Trump ordered tolls Saturday of 25% on Mexico and Canada, and 10% on China.
The major U.S. stock indexes began the Monday session definitely lower but pared losses after Trump and Mexican President Claudia Sheinbaum said tariffs on Mexican goods commitment be delayed by a month. A similar pause in tariffs against Canada was announced after the stock market closed.