Vaccine Stocks Plunge as U.S. Officials Probe Alleged Link Between Covid Shots and Child Deaths
Shares of leading Covid-19 vaccine makers Pfizer, Moderna, and Novavax tumbled sharply on Friday after reports suggested that Trump-era U.S. health officials are preparing to connect child deaths to coronavirus vaccines.
According to The Washington Post, the administration is reviewing data from the Vaccine Adverse Event Reporting System (VAERS) that lists unverified self-reported incidents, including deaths, potentially linked to vaccines. Officials are reportedly considering presenting these cases before the Centers for Disease Control and Prevention (CDC) vaccine advisory panel next week. The CDC plays a decisive role in shaping America’s immunization policy.
Stock Market ReactionFollowing the report, Pfizer’s stock dropped more than 3%, Moderna’s fell over 7%, and Novavax lost more than 4% in a single trading session, according to CNBC. The sharp declines reflect growing investor anxiety over possible regulatory actions or a shift in public sentiment if the claims gain traction.
FDA Confirms Investigation UnderwayFDA Commissioner Marty Makary confirmed to CNN that an investigation is ongoing. He noted that the probe involves autopsies and interviews with families of the deceased children. However, Makary emphasized that the process is highly complex and could take several months before any conclusions are reached.
He cautioned against drawing premature links, stressing that such claims need to be supported by extensive scientific evidence.
Experts Warn Against MisinformationThe controversy has triggered alarm among public health experts and career scientists. They argue that multiple studies have consistently demonstrated the safety of Covid-19 vaccines in children. Linking the vaccines directly to deaths without solid scientific backing, they warn, could fuel misinformation and erode public trust.
A June CDC report showed that since July 2023, at least 25 children had died after being hospitalized with Covid-19. Notably, none of these children had received vaccinations, highlighting the protective role vaccines could have played.
Former CDC advisor and public health professor Noel Brewer told The Washington Post:
The Role of VAERS and Its Limitations“They are exploiting this platform to spread fear by linking vaccines to deaths without credible evidence. This risks undoing years of progress in vaccination campaigns.”
The VAERS database, often cited in vaccine debates, contains raw, unverified reports of adverse events following vaccination. Both the CDC and FDA have repeatedly stated that VAERS alone cannot establish a causal link between vaccines and deaths. Any claims based solely on VAERS data must be interpreted with extreme caution.
Still, the renewed focus on the database has already impacted market confidence, showing how sensitive vaccine-related news remains in the post-pandemic era.
Broader Implications for Vaccine MakersThe controversy comes at a challenging time for vaccine manufacturers. Demand for Covid-19 shots has slowed worldwide, with governments scaling back bulk purchases. Any renewed doubts about safety—even if unproven—could further weaken public demand and dent revenue streams for pharmaceutical companies already grappling with declining vaccine sales.
Market analysts believe the coming weeks will be critical. If the CDC advisory panel gives weight to the claims, even temporarily, it could spark political debate and lead to stricter oversight on vaccine safety communications. On the other hand, if investigations dismiss the claims as unfounded, stocks could stabilize.
Bottom LineThe unfolding controversy illustrates how sensitive vaccine narratives remain in both health and financial markets. While experts caution against misinformation, the immediate fallout in the stock market reflects how easily investor confidence can be shaken. Until the FDA concludes its investigation, uncertainty is likely to weigh on Pfizer, Moderna, and Novavax shares.
Disclaimer: This article is based on media reports and expert commentary. The information provided is for general awareness and should not be treated as medical advice. For health-related concerns, always consult a qualified medical professional.
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