![\"Mizuho's](\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2026\/11\/108521576-17938324581793832455-49439717022-1080pnbcnews.jpg\")
<\/p>\n<\/p>\n
Healthcare stocks may struggle to gain momentum as Democrats prepare to take over Congress.<\/p>\n
Jared Holz, who covers healthcare for Mizuho, says the outlook for the sector is uncertain because of likely gridlock between lawmakers.<\/p>\n
“The next couple of years I really can’t see too much happening,” the firm’s sector specialist told CNBC’s “Fast Money<\/a>” on Wednesday. “I’m not sure you want to own everything, but you can pick and choose the names\u2026 Pharma is trading more expensive than tech for the first time in 20 years. So, I backed away from pharma. I would look at medtech.”<\/p>\n The State Street Health Care Select ETF (XLV)<\/a> jumped 3% a day after Election Day.<\/p>\n “You had this very weird situation where typically you wouldn’t have all of these categories work in tandem, and they did. So, I think some things just a little bit off,” said Holz, a day before healthcare got swept up in Thursday’s Wall Street sell-off<\/a>.<\/p>\n According to Holz, healthcare’s real booster shot may come if a Democrat wins the White House in 2028. <\/p>\n “Then I think you see some of the Trump strategies rolled back. That’s where I think healthcare could actually perform well,” said Holz, who added it hinges on Democrats retaining the Senate and House. \u00a0<\/p>\n For investors who are long on healthcare, Holz said each subsector should be treated differently.<\/p>\n “Can we get some of the regulation that has taken place over the past couple of years and overturn that over the near term? I don’t necessarily believe so,” Holz said. “But if you do, then you probably want to be long some of these medical device stocks that are at or near multi-year lows.” <\/p>\n The State Street Health Care Select ETF<\/a> ended virtually flat this week. It’s up around 32% since President Trump took office in January 2025 \u2014 beating the S&P 500<\/a> by almost 9 percentage points. <\/p>\n","protected":false},"excerpt":{"rendered":"Healthcare stocks may struggle to gain momentum as Democrats prepare to take over Congress. Jared Holz, who covers…\n","protected":false},"author":2,"featured_media":909378,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[59],"tags":[2602,244,449,1531,116,1071,122,1340,12,101,1070,2477,3138,97,252,59183,253,163164,113,112,10653,262618,2405,247,111,117,114,8638,9291,97136,918],"class_list":["post-909377","post","type-post","status-publish","format-standard","has-post-thumbnail","category-health-care","tag-biotech-and-pharmaceuticals","tag-biotechnology","tag-breaking-news-economy","tag-breaking-news-investing","tag-breaking-news-markets","tag-breaking-news-politics","tag-business-news","tag-congress","tag-donald-trump","tag-economy","tag-elections","tag-exchange-traded-funds","tag-government-and-politics","tag-health","tag-health-care","tag-health-care-select-sector-spdr-fund","tag-healthcare","tag-industry-regulation","tag-investment-strategy","tag-markets","tag-medical-devices","tag-mid-term-elections","tag-personal-investing","tag-pharmaceuticals","tag-politics","tag-sp-500-index","tag-stock-markets","tag-u-s-democratic-party","tag-united-states-house-of-representatives","tag-us-senate","tag-wall-street"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/909377","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=909377"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/909377\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/909378"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=909377"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=909377"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=909377"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}