02:01 PM EDT, 07/09/2025 (MT Newswires) -- Health care stocks were edging lower Wednesday afternoon, with the NYSE Health Care Index and the Health Care Select Sector SPDR Fund (XLV) each easing about 0.1%.

The iShares Biotechnology ETF (IBB) climbed 1.9%.

In corporate news, UnitedHealth Group's ( UNH ) Medicare billing practices are under investigation by the US Justice Department's criminal healthcare-fraud unit, The Wall Street Journal reported. UnitedHealth ( UNH ) shares fell 1.6%.

Merck ( MRK ) agreed to buy UK-based Verona Pharma ( VRNA ) in a deal worth $10 billion to expand its cardio-pulmonary disease treatment portfolio. Merck ( MRK ) shares rose 3.2%, and Verona jumped past 20%.

CVS Health's ( CVS ) Omnicare unit was ordered to pay $948.8 million in penalties and damages in a whistleblower lawsuit alleging it fraudulently billed the US government for invalid drug prescriptions, Reuters reported, citing a court order. CVS shares were down 0.5%.

Rhythm Pharmaceuticals ( RYTM ) shares jumped 35% after the company said bivamelagon achieved body mass index reductions in patients in a phase 2 acquired hypothalamic obesity trial.