US STOCKS-Wall St flat after three-day run; Gilead drags

lunes 22 de diciembre de 2014 12:18 GYT
 

* Indexes: Dow up 0.39 pct, S&P off 0.01 pct, Nasdaq up 0.04 pct

* Gilead falls as Express Scripts picks AbbVie treatment

* Housing shares drop in wake of home sales data (Updates to late morning)

By Chuck Mikolajczak

NEW YORK, Dec 22 (Reuters) - U.S. stocks were little changed on Monday, after the benchmark S&P 500 enjoyed its best week in nearly two months, as a sharp drop in shares of Gilead Sciences offset broader gains in key indexes.

Gilead slumped more than 12 percent to $94.80 as the biggest drag on both the S&P and Nasdaq 100 indexes. Express Scripts, the nation's largest pharmacy benefit manager, said it would no longer cover Gilead's treatments after it lined up a cheaper price from AbbVie Inc for its newly approved hepatitis C treatment.

Market participants said investors used the Gilead news to lock in recent gains, though it wasn't reflective of the fundamentals of the broader market.

"That is very specific to Gilead, so that one is getting crushed, but it shouldn't necessarily set a completely negative tone over the rest of the market, there is no reason for it," said Ken Polcari, director of the NYSE floor division at O'Neil Securities in New York.

"The market has had a decent move the last couple of days, so anything could cause people to take a little money off the table."   Continuación...