You have companies like UHG and Cigna not that far off from their ATHs. I would've thought that just the rumour of possible cuts to medicaid and medicare wouldve send these stocks spiraling down. Instead UHG was rising yesterday morning while most stocks were falling. As if people were seeing it as a safe haven.
Of course I understand that health services will go on no matter what happens, but if jobs are lost then their commercial side loses contracts. If republicans gut medicaid, thats a good chunk of business right there also lost. And if Medicare were to be drastically cut (unlikely but you never know) then it would be potential game over for these conpanies. Help me understand.
Thank you