Biotech Stocks Plummet After FDA Chief's Resignation

Biotech stocks experienced significant declines following the resignation of Dr. Peter Marks, a key FDA official overseeing vaccine approvals, due to clashes with Health and Human Services Secretary Robert F. Kennedy Jr., a known vaccine skeptic. Marks' resignation letter criticized Kennedy for promoting misinformation about vaccines, amplifying fears of regulatory instability and potential politicization within the FDA. The uncertainty surrounding the future regulatory environment under the Trump administration has heightened market anxiety, impacting the biotechnology sector broadly. Marks' exit follows the departure of other senior FDA officials, adding to concerns about leadership continuity and its implications for the pharmaceutical industry. Stocks of companies like Moderna, Novavax, and Vaxcyte suffered sharp drops, and analysts warn that the loss of Marks, a proponent of regulatory flexibility, could hinder the approval process for cutting-edge treatments.