Pharmalittle: We're reading about biotech investors' mood, a former FDA head's confidence, and more

Good day, and happy Wednesday. This is STAT reporter Andrew Joseph filling in for Mr. Pharmalot. It has already been a hectic day at STAT's London office. Regardless of your location, we encourage you to find a moment for a snack or a brief walk. Now, let's dive into the news.

Biotech investors' risk outlook shifts

Biotech investors are experiencing a diminishing concern regarding the political risks associated with the Make America Healthy Again movement. While Robert F. Kennedy Jr., a well-known critic of the industry, remains the health secretary, and MAHA continues to have influence over certain segments of the American populace, Wall Street has effectively downgraded the political risk of investing in drug companies. It now ranks significantly lower than concerns regarding interest rates, clinical data, and earnings. The recent dismissal of U.S. Food and Drug Administration officials perceived as skeptical of the industry has contributed to this more optimistic sentiment.

Former FDA commissioner expresses confidence in agency's future

Amid the ongoing changes at the FDA, a former commissioner envisions a positive turning point for the agency. David Kessler, who served as the commissioner from 1990 to 1997 and also participated in Operation Warp Speed during the Covid-19 pandemic, expressed optimism at STAT's Breakthrough Summit West on Tuesday regarding the FDA's newly appointed acting commissioner, Kyle Diamantas. Although Diamantas is an attorney, not a medical doctor as is customary for most FDA commissioners, Kessler conveyed his "great confidence" in Diamantas, noting: "I think he understands the process."