TMDX - MedTech stocks slump after Texas Governor urged hospitals to delay elective procedures

The shares of medical device makers have come under pressure in morning hours after Texas Governor Greg Abbott encouraged the hospitals to consider postponing certain elective medical procedures to make room for rising COVID-19 patients in the state. The seven-day average of COVID-19 hospitalizations had risen to 8,432 on Sunday, more than five times the average of 1,475 at the end of June, New York Post reported. In a letter to the Texas Hospital Association on Monday, Abbott asked hospitals to “voluntarily postpone medical procedures for which delay will not result in loss of life or a deterioration in the patient’s condition." In response to the surge in COVID-19 cases, Abbott moved to prohibit elective surgeries across 100 counties last summer before ending the ban in September. The S&P 500 Health Care Equipment Index has lost ~2.1%, and the iShares U.S. Medical Devices ETF (IHI -0.7%) is also trading lower with their components. Notable

For further details see:

MedTech stocks slump after Texas Governor urged hospitals to delay elective procedures