Drug firms face US probe

Mumbai: Stocks of twelve Indian drug companies, including Sun Pharma, have fallen after reports of a US probe into price collusion charges in 25 drugs. Pharma stocks are also feeling the effect of a possible Hillary Clinton win in the US election. Drug pricing has become a political issue with Ms Clinton known for her healthcare programme, speaking of action against companies raising drug prices steeply.

India, Australia, Singapore and Taiwan have less of an exposure to the US market compared to other countries. A Morgan Stanley research report released on Friday said that a Donald Trump win would see greater trade protectionism, whilst a potential Clinton victory implies a greater possibility for US drug price regulation.