Biotech companies continue to have breakout moments, causing investments to boom for the market, according to CNBC.
The SPDR S&P Biotech ETF (XBI) reached a 52-week high. As of Monday, XBI's year-to-date gains were 32 percent. This is more than double the 15 percent increase the broader Health Care Select Sector SPDR Fund (XLV) has experienced.
The high followed various biotech deals and acquisitions. Merck agreed to purchase cancer drugmaker ArQuel for $2.7 billion. Additionally, Sanofi will acquire Synthrox for $2.5 billion.
"People are living longer, so there's definitely a need for new, innovative drugs, especially [related to] cancer," said Strategic Wealth Partners chief Mark Tepper on CNBC's Trading Nation. "We prefer biotech companies where there's already a product in the market right now because it gives you better revenue visibility."