MRK - Biotech Stocks Bloodied But Can Now Drive M&A
The precipitous, waterfall-like, decline in indexes this month was led by the sliding small-cap and biotech indexes. The chart below shows the anatomy of the pullback during the first half of October. The lowest two lines are the biotech indexes.
The October Fall - Oct 01 to 12Source: Yahoo Finance; edits by PrudentBiotech.com
In less than two weeks, the S&P 500 (SPY) dropped -7%, while the Nasdaq (QQQ) and the Russell 2000 (IWM) indexes fell over -10%, at their lows on October 11. The Nasdaq Biotech (IBB