Spectrum Pharmaceuticals' Stock Drops After Cancer Treatment Voted Down By FDA Committee

By Tomi KilgoreMarketsMarketWatch Pulse

Spectrum Pharmaceuticals Inc. said Wednesday that an Food and Drug Administration advisory committee voted that biotechnology company's cancer treatment, Qapzola, did not show substantial evidence of a treatment effect over placebo. The company said the FDA is not bound to follow the committee's recommendation, when it makes its final decision on Qapzola by Dec. 11. The stock dropped 5% in afternoon trade, but pared earlier losses of as much as 15%. The stock has now shed 14% year to date, while the SPDR S&P Biotech ETF has lost 9.4% and the S&P 500 has gained 4.4%.

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