Investor optimism regarding the outlook for European healthcare stocks continued to decline dramatically on Thursday following President-elect Donald Trump's press conference in which he vowed to clamp down on drug pricing.
Trump said the drug industry in the U.S. was "disastrous" and pharmaceuticals had been "getting away with murder" during his first press conference as President-elect on Wednesday.
"Any hopes from the pharmaceutical industry that a Hilary Clinton election victory would have been better have now been erased by Trump's press conference," Alistair Campbell, research analyst at Berenberg Bank, told CNBC in a phone interview on Thursday.
Drug stocks had initially rallied in the aftermath of Trump's election victory which reflected investor relief that his opponent, Hilary Clinton, would not be able to implement price controls on the industry. However, Trump's latest comments appeared to be indicative of a negative outlook for European healthcare stocks, especially those with a greater exposure to the U.S. market.