Another pocket of relative tranquility that seems to be immunized from the financial distress is Big Pharma, which is currently outperforming the market. Pharma names have traditionally been safe havens in a declining market and this time is no different.
Pete Najarian cautions that drug stocks are faring well but are not bulletproof. He likes names like Wyeth (WYE), GlaxoSmithKline (GSK) and Eli Lilly (LLY). Biotech stocks are also faring well, Pete says. He recommends Myriad Genetics (MYGN) or Amylin Pharmaceuticals (AMLN) if you want to see some drug-related strength without getting exposed to Big Pharma.