03:46 PM EDT, 07/07/2025 (MT Newswires) -- Health care stocks declined late Monday afternoon, with the NYSE Health Care Index shedding 0.9% and the Health Care Select Sector SPDR Fund (XLV) falling 1.1%.

The iShares Biotechnology ETF (IBB) dropped 1.6%.

In sector news, Alphabet's (GOOG) Isomorphic Labs is preparing to start human trials of its AI-designed drugs, Fortune reported, citing Isomorphic Labs President Colin Murdoch. The report said Isomorphic has signed deals with companies such as Novartis (NVS) and Eli Lilly (LLY) and has been working in areas like oncology and immunology.

In corporate news, GSK (GSK) completed its acquisition of Boston Pharmaceuticals' steatotic liver disease therapeutic candidate efimosfermin. GSK shares added 0.1%.

Molina Healthcare ( MOH ) cut its full-year earnings outlook on Monday amid medical cost pressures across the health insurer's three main business segments. Its shares dropped 2.4%.

Jasper Therapeutics ( JSPR ) shares tumbled 50% after it said it's shutting down its asthma trial after discovering a faulty batch of its experimental drug was used to treat individuals who were enrolled in a trial evaluating briquilimab.

Mustang Bio ( MBIO ) shares rallied 173% after the US Food and Drug Administration granted orphan drug designation to the company's MB-101 for recurrent diffuse and anaplastic astrocytoma and glioblastoma treatment.