Hospital and insurer stocks dropped after a federal judge in Washington ruled that some of the funding for President Barack Obama’s signature health-care law is unconstitutional, potentially jeopardizing a source of their revenue.
Community Health Systems Inc. fell 11 percent to $12.56 at the New York close. Tenet Healthcare Corp. dropped 9.8 percent to $28.41 and HCA Holdings Inc., the biggest U.S. for-profit hospital chain, was down 3.2 percent to $77.69. Shares of health insurers, including Anthem Inc. and Aetna Inc., also declined.
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