Tech stocks may grab the headlines but investors may want to pay closer attention to big pharma and biotech stocks. These groups have posted healthy gains over the past month—and the Wall Street Journal notes the returns may continue on top of big drug stocks’ 4% increase (the NYSE Arca Pharmaceutical Index) and biotechs’ 8% rise (the Nasdaq Biotechnology Index) during that time frame.

Household names including Pfizer, Inc. (PFE), Merck & Co., Inc. (MRK), Amgen Inc. (AMGN), Biogen Inc. (BIIB), and Gilead Sciences, Inc. (GILD) are among the surging stocks.

The Journal reports a few factors behind the gains: there has been an increase in M&A activity but primarily President Trump’s rhetoric and campaign trail promises to rein in high drug prices have not gained any traction in Washington. (For more, see also: Why Did Trump Meeting Boost Pharma Stocks?)

While the Oval Office’s silence has boosted returns, investors should be aware of some legislative activity by Senate Democrats who are focusing more on a single-payer health insurance proposal. The Journal says this would be an overhang for the drug industry and stocks but that it’s “years away at best.” (For more, see also: Universal Health Care Coverage.)

Additionally, the newspaper points out that legislation that may affect drug prices in California are on the governor’s desk but that it is unclear whether there is momentum to pass these measures into law.

Drug Stocks Get M&A Booster

M&A activity in the sector is also putting a bid into the group, with larger deals prompting investor attention. The Journal calls out Gilead Sciences, which rose after announcing August 28 that it was buying Kite Pharma (KITE), whose stated goal is curing cancer, for $11 billion. That is unusual since the acquirer’s stock usually declines after announcing a deal, but investors apparently are betting the deal will boost Gilead’s bottom line in the short order.

Additionally, positive clinical data is adding a third prong to the drug stock rally. AbbVie Inc. (ABBV) shares have jumped 25% over the past month, according to the Journal, after the company revealed results for its experimental medicines in atopic dermatitis and rheumatoid arthritis.

Separately, Johnson and Johnson (JNJ) and Bayer recently unveiled new data around their anti-clotting drug, Xarelto, which the Journal says portends a big increase in potential sales for the drug.

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