November 5, 2014 by Brian Johnson
Medical device stocks are on the rise today as investors react to sweeping Republican gains in the mid-term elections, which raises the likelihood of repealing the medical device tax.
The medical device industry put a lot of skin in the Grand Ol’ Party ahead of the mid-term elections, which is looking like a good bet this morning. The elections, which saw sweeping Republican wins across the country, were also wins for the medical device industry on Wall Street and inside the Beltway: After 4 hard-fought years, medtech can now anticipate a repeal of the medical device tax.
When the GOP takes control of the Senate in January, Sen. Mitch McConnell (R-Ky.) will take the reins as majority leader from Sen. Harry Reid (D-Nev.). In contrast to Reid, a staunch supporter of Obamacare who’s adamantly against repealing the medical device tax, McConnell has long been a vocal critic of the Affordable Care Act and has called repealing the law a “top priority.”