Pharmaceutical stocks dipped Sept. 10 after information about House Speaker Nancy Pelosi's drug-pricing plan surfaced, according to CNBC.
Eli Lilly's stocks fell 1 percent in afternoon trading and Merck and GlaxoSmithKline's stocks both decreased by more than 2 percent, CNBC reported.
Ms. Pelosi's plan would allow HHS to negotiate prices on the 250 most expensive drugs, providing they have no more than two competitors. The discounts would then be applied to private health plans across the U.S.
HHS is currently prohibited from negotiating drug prices on behalf of Medicare.
The draft bill, which may be revealed as soon as this week, also includes severe penalties on drugmakers that refuse to participate in negotiations or reach an agreement with the government.
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