Health insurers’ stock prices are likely to fall Wednesday. Most of them rose smartly Tuesday on news that President Obama would accept a health bill without a public option health plan.
But not only did the left get to Obama and force him to reassert his demands for a public option health plan, or Government HMO, Senate Majority leader Harry Reid (D-NV) told Sen. Max Baucus (D-MT) that the health bill must include the Government HMO.
Both Obama and his chief of staff, Rahm Emanuel, look silly and weak. They’ve been rolled by their hard left base once again. And it might and should kill their health insurance reform bill, which really isn’t a reform bill but an inflationary health care spending bill that would cost trillions over the next 5, 10 and 20 years.
If the bill dies, which is a good probability, health insurers will be fine for the near term, but until the bill’s fate is determined for sure, health insurers’ stocks will be under attack.
Daily charts for health insurers are here.
Disclosure: I don’t own any of these stocks.