Sector Update: Health Care Stocks Lower in Late Afternoon Trading

US benchmark equity indexes ended lower Friday as big tech stocks slumped.

* Shares of chip-making giant Nvidia fell 2%, the steepest decline on the Dow, followed by Microsoft , Amazon.com and Apple .

* Tesla posted the biggest drop on the Nasdaq, down 5%.

* Data released by the US Census Bureau showed that the US advance international trade in goods deficit widened to $102.86 billion in November from $98.26 billion in October, a bigger gap than the $101.2 billion deficit expected in a survey compiled by Bloomberg. Exports rose by 4.4% in October while imports increased by 4.5%.

* In its market and economic outlook for 2025, D.A. Davidson said it doesn't see weak economic conditions forming as the new year starts, paving the way for equities to post gains.

* "But we should expect volatility and recognize that equity market corrections are common," D.A. Davidson said. "We continue to recommend broad sector diversification and frequent portfolio rebalancing."

* February West Texas Intermediate crude oil closed up $0.56 to settle at $70.18 per barrel, while February Brent crude, the global benchmark, was last seen up $0.50 to $73.77 after US crude oil stocks fell more than expected last week.

* UnitedHealth Group and Amedisys extended the deadline for closing their $3.3 billion merger agreement as the US Department of Justice scrutinizes the deal. Amedisys shares rose 4.7%, and UnitedHealth shares eased 0.2%.

US benchmark equity indexes were lower intraday amid declines in certain mega-cap stocks.

The Nasdaq Composite was down 1.9% at 19,635.5 after midday Friday, while the S&P 500 fell 1.4% to 5,950.2. The Dow Jones Industrial Average lost 1% to 42,874.5. All sectors were lower, led by consumer discretionary and technology.

Shares of chip-making giant Nvidia fell 2.6%, the steepest decline on the Dow. Tech majors Microsoft and Apple were among the worst performers on the Dow, along with e-commerce giant Amazon.com .

Electric vehicle maker Tesla saw the biggest drop on the Nasdaq and the second-biggest on the S&P 500, down 4.6%.

Lamb Weston shareholder Jana Partners has added Jeff Delapp to its slate of nominees for a potential overhaul of the frozen potato products supplier's board. Lamb Weston shares were up 4%, the best performer on the S&P 500.

UnitedHealth Group and Amedisys agreed to extend the deadline of their proposed merger as the deal faces scrutiny from the US Department of Justice over competition concerns. Amedisys shares were up 4.7%, while UnitedHealth fell 0.6%.

The US 10-year yield rose 3.6 basis points to 4.62% intraday, while the two-year rate fell 1.8 basis points to 4.31%.

West Texas Intermediate crude oil was up 1.4% at $70.60 a barrel intraday.

Gold fell 0.8% to $2,631.70 per troy ounce, while silver lost 1.4% to $29.98 per ounce.

Health care stocks were declining Friday afternoon, with the NYSE Health Care Index and the Health Care Select Sector SPDR Fund (XLV) each shedding 0.7%.

The iShares Biotechnology ETF (IBB) fell 1%.

In corporate news, UnitedHealth Group and Amedisys agreed to extend the deadline of their planned merger as the deal faces scrutiny from the US Department of Justice over competition concerns. UnitedHealth shares were down 0.5% while Amedisys shares jumped 4.7%.

BioNTech shares were rising 0.9%. The company announced Friday separate agreements with the US National Institutes of Health and the University of Pennsylvania to settle royalty claims related to sales of its COVID-19 vaccine co-developed with Pfizer (PFE).

BeiGene said Friday the US Food and Drug Administration approved Tevimbra, its drug to treat a form of stomach cancer, in combination with chemotherapy. BeiGene shares were shedding 0.8%.

(Updates to include UnitedHealth's response in the seventh paragraph.)

UnitedHealth Group and Amedisys agreed to extend the deadline of their proposed merger as the deal faces scrutiny from the US Department of Justice over competition concerns.

UnitedHealth, through its Optum subsidiary, agreed in June 2023 to acquire home health and hospice services provider Amedisys for $101 per share in cash. The deal requires regulatory approval to be completed.

Last month, the Justice Department, along with the attorneys general of Maryland, Illinois, New Jersey and New York, filed a lawsuit in Maryland against the planned transaction over competition concerns.

The companies have now agreed to extend the deal's completion deadline to 10 days after a final court decision is issued in the DOJ lawsuit or Dec. 31, 2025, whichever is earlier, Amedisys said in a filing with the Securities and Exchange Commission.

The companies previously expected the transaction to close by Dec. 27, Reuters reported.

The new waiver agreement includes a regulatory break fee of $275 million, which may increase to up to $325 million if the companies fail to divest certain assets to gain approval, the latest filing showed. "Certain closing conditions relating to government approvals are no longer conditions to the consummation of the merger," according to the filing.

UnitedHealth said in a statement to MT Newswires that the company had "nothing more to share" beyond the details mentioned in the filing. Shares of the health insurer edged down 0.4% in Friday trading, while Amedisys' gained 4.5%.

"We are challenging this merger because home health and hospice patients and their families experiencing some of the most difficult moments of their lives deserve affordable, high quality care options," US Attorney General Merrick Garland said in a Nov. 12 statement. "The Justice Department will not hesitate to check unlawful consolidation and monopolization in the healthcare market that threatens to harm vulnerable patients, their families, and health care workers."

Health care stocks were lower Friday afternoon, with the NYSE Health Care Index down 0.7% and the Health Care Select Sector SPDR Fund (XLV) shedding 0.8%.

The iShares Biotechnology ETF (IBB) fell 1.1%.

In corporate news, UnitedHealth Group and Amedisys agreed to extend the deadline of their planned merger as the deal faces scrutiny from the US Department of Justice over competition concerns. UnitedHealth shares were down 0.5% while Amedisys shares jumped 4.8%.