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The Stock Movers Report, your roundup of companies making moves in the stock market, harnessing the power of Bloomberg data.
Let's take a look at some stocks on move today. I'm Tom McKenzie alongside Corn Heca. Of course, we're joined now by Bloomberg reporter Chloe Malay. Chloe. Novo in focus, of course, the drug maker and the maker of weight loss drugs, but not necessarily for good reason. What's going on with the stock?
Yeah, so the US government negotiated a seventy one percent at discount on the price of both azempic and wigov which of course are two of Novo's a blockbuster drugs, So it now prices them at two hundred and seventy four dollars a month for patients on Medicare, which is the health insurance program for the elderly and the disabled in the US. Nova said that it actually remained opposed to that government price setting. But it actually seems that
investors are not two phased by the news. They say that this is kind of mostly priced in the This is part of all of the drug pricing negotiations with the pharmaceutical industry that was conducted by the Trump administration, of course, using tariffs, using those regulatory threats to try and reduce the cost of healthcare and boost local manufacturing in the US, and the Trump administration said the new prices would represent a twelve billion dollars in savings compared
with what Medicare had spent on those same drugs last year, So that that's not only a zepic and MCGOVI, but a range of other drugs that are seeing those Medicare cuts. So although it sounds like actually quite a steep price cut, analysts are saying that the impact will actually not be too material for Novo and that explains the shares a shrugging this.
Off mostly for that company.
Okay, so that on another Nordisk now Alice are looking at alcohol, tobacco, but cautious on luxury. Is that a Christmas list or is it a stopic?
Yeah?
So Panoga, which obvious the maker of spirits, It's down this morning after being placed on a negative catalyst watch by JP Morgan Alys.
So the analyst said that they were taking quite.
A cautious approach on the consumer staples sector in Europe as a whole because of higher unemployment and lower consumer confidence that will be probably weighing that sector down in twenty twenty six. But within that they prefer some categories over others, so cigarettes, for example, is better place, so Imperial brands beer like with companies like Carsburg is better placed. But unfortunately for Pano it doesn't fit within those categories. It is a higher price point and therefore a bit
more exposed to that lower consumer confidence. Just a few weeks ago it had to cut its outlook because it had a very steep drop in sales and really weak demand across all of its key markets, and it seems that analysts don't believe that it'll be able to get out of that slump anytime soon.
I'm talking you have consumer sentiment retailer next in focus as well. How much of this is a litmus test.
Really as we lead up to the budget at twelve thirty.
Today, Yeah, it's really all about that those pre budget jitters across the UK stop market, so they'll be obviously focused throughout the day, But for now we can already see some weakness in the shares of some retailers that was obviously due to the announcement last night over hike in the minimum wage, So that has an impact on companies like Next, of course, but also supermarkets, high street chains, pubs, et cetera, all of those companies that have really large
young workforces and therefore a minimum wage increase represents quite a big hike in costs for them, and we can see that reflected in the.
Shares in Next this morning.
The problem with the minimum wage hike, according to economists, is that it's already among the highest globally, productivity is meanwhile lagging behind other countries.
So it creates this imbalance that is quite.
Tough, quite challenging for both workers and employers, and that is weighing down those retailers, those supermarkets this morning.
Let's see what we get later in the budget.
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