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"Insurers such as Wellpoint and Cigna (down 4% and 5% respectively) are dropping because the law is likely to crimp their profit margins."
And under the premise that businesses (and hence the stock market) love certainty, a ruling, any ruling, should have been positive for the market. Not.
I'm not sure the market being down has as much to do about the HC decision (if anything) as it does over more European worries. Heck, the market was down at the opening bell when most observers thought much of the HC plan would be repealed. Just more of what we've been dealing with for months now.
Reply to @scott: I see your point in this chart. European concerns drove the market down from the start, just like it did for the rest of the worlds markets and just like it has for the last 3 months. Then when wall street figured out by the end of the day that the HC decision was a good thing for the average American the market jumped back up. I agree.
Comments
From SCOTUSblog:
“Stocks are reacting very much as analysts predicted in the event that the law was upheld. Hospital stocks such as HCA (up 8%) and LifePoint (up 4%) are rising because the law is likely to result in increases in volume for their businesses without added costs. Matthew Harper at Forbes http://www.forbes.com/sites/matthewherper/2012/06/28/obamacare-question-for-stocks-do-you-prefer-the-devil-you-know/
"Insurers such as Wellpoint and Cigna (down 4% and 5% respectively) are dropping because the law is likely to crimp their profit margins."
And under the premise that businesses (and hence the stock market) love certainty, a ruling, any ruling, should have been positive for the market. Not.
Matt: Anna Wilde Matthews at the Wall Street Journal writes, “After months of uncertainty as the federal health-care overhaul faced legal challenges, the industry—which at $2.7 trillion represents 17.9% of the nation's gross domestic product—has a clearer picture of what's in store.” http://online.wsj.com/article/SB10001424052702304441404577479042245939300.html?mod=googlenews_wsj
http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2012/06/20120628_ES.png
http://www.zerohedge.com/news/just-very-visible-fat-finger
lol.