Investors continued to drop health stocks for the ninth day Jan. 25, tying the sector's longest sell-off since 1994, according to Bloomberg.
So far in January, the healthcare sector has dropped more than 9 percent and is expected to experience its largest monthly drop since 2009. Last January, the sector saw a 24 percent increase.
The downward spiral comes amid concerns about rising rates and a broader market retreat, Bloomberg reported. Additionally, investors have been turning away from once sought after pandemic stocks as the market gains optimism about COVID-19.
Oppenheimer strategist Jared Holz told Bloomberg that the healthcare stock slump has been potentially "grimmer than COVID."
"The sector is mired in this macro-oriented sell-off while suffering from a lack of a big picture narrative to bring investors back in," Mr. Holz told Bloomberg.