December Could be Positive for Biotech ETFs

ETF Trends reported that if a slew of decisions expected from the US Food and Drug Administration are positive, biotech ETFs could end 2014 on a very positive note.

As quoted in the market news:

Several important new application (NDA), supplemental new drug applications (SNDA) and related announcements are expected this month, starting with Incyte’s (NasdaqGS: INCY) SNDA ‘for ruxolitinib as a potential treatment of patients with polycythemia vera who have had an inadequate response to or are intolerant of hydroxyurea’ on Friday Dec. 5, reports Jon Ogg for 24/7 Wall Street.

December 21 Prescription Drug User Fee Act (PDUFA) date Cubist Pharmaceuticals (NasdaqGS: CBST), which ‘is seeking FDA approval of ceftolozane/tazobactam for the treatment of complicated urinary tract infections and complicated intra-abdominal infections,’ according to 24/7 Wall Street.

Incyte is the largest holding in the First Trust NYSE Arca Biotechnology Index Fund (NYSEArca: FBT) at 4.3% of the ETF’s weight. The $2 billion FBT also allocates 3.4% of its weight to Cubist, according to issuer data.

Click here to read the full ETF Trends report.