Major Changes in US Health Sector: Medicare Boost, Vaccine Panel Revamp & Big Acquisitions

The US government announced a 2.48% increase in Medicare Advantage payments to insurers beginning in 2027, following a near-flat proposal in January. The adjustment has led to a significant rise in insurer stocks, reflecting positive market reception.

In regulatory news, U.S. Health Secretary Robert F. Kennedy Jr. is updating membership criteria for a crucial vaccine advisory panel. The move comes after a court ruling highlighted the lack of qualifications among previous panel members, impacting the advisory process for the CDC.

In the pharmaceutical sector, Neurocrine Biosciences plans to acquire Soleno Therapeutics for $2.9 billion. This strategic purchase provides Neurocrine with Vykat XR, the only FDA-approved drug for hyperphagia in Prader-Willi syndrome, signaling its expansion into treatment for metabolic diseases.