Health care stocks declined Thursday afternoon, with the NYSE Health Care Index down 0.6% and the State Street Health Care Select Sector SPDR ETF (XLV) shedding 0.8%.

The iShares Biotechnology ETF (IBB) fell 1.2%.

In corporate news, Eli Lilly (LLY) and Novo Nordisk's (NVO) GLP-1 drugs included in President Trump's plan to extend coverage of weight-loss treatments for some Medicare beneficiaries would cost health insurers billions of dollars in its first year, Bloomberg reported, citing an analysis published in the Journal of the American Medical Association. Lilly shares were down 2.2%, and Novo was easing 0.1%.

Grifols (GRFS) faces new operating conditions across all of its Canadian plasma collection centers after Health Canada inspections found recurring, systemic compliance deficiencies, CBC News reported Wednesday, citing a spokesperson for the regulator. Grifols shares were down 0.5%.

Immunovant (IMVT) shares fell 1% after the company said topline results from two phase 3 clinical studies of batoclimab as an experimental treatment of thyroid eye disease in adults showed that they failed to meet their primary endpoint.