Bloomberg Business reported on Wednesday afternoon that stocks on hospital corporations went up significantly following Justice Kennedy's comment, during oral arguments on the challenge to the Affordable Care Act, that the Obama administration had a "powerful" argument when it said that the health care law would fall apart if the subsidies were ruled unlawful.
Aside from the individuals that would be unable to afford health insurance if the plaintiffs prevail, the greatest direct economic hit would be to hospitals and medical insurance companies. Tenet stock went up 7.4%, Hospital Corporation of American went up 7%, and Community Health Systems was up 6.3%.
Of course this does not prove anything; but people investing their money usually respond to some subtle intuition about which side is going to win. Kennedy's vote would be enough, along with the four liberals, to save the ACA.
It's my guess that John Roberts' uncharacteristic quietness today was to avoid tipping his hand because he intends to save the ACA -- if no one else does -- just as he did on the previous challenge.
Ralph
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