On Wednesday, both large cap biotechs (NASDAQ:IBB) and their small cap brethren (NYSEARCA:XBI) reversed down about 4% during a press conference given by President-elect Trump, in which he threatened the pharmaceutical industry with tough bargaining from the Federal government. One suspects he was referring to Medicare Part D, where each insurance plan serving Medicare beneficiaries works out its own formulary with the drug companies. The VA and Defense Department already have great deals and group purchasing.
