Legg Mason’s Miller Expects Healthcare Stocks to Bounce

Citing the elimination of doubt about the healthcare reform bill by its historic passage on Sunday, Legg Mason Chairman and Chief Investment Officer Bill Miller believes healthcare stocks will benefit from the new bill in the near-term, but as higher taxes kick in, the overall market could suffer, Reuters reports.

“The political benefits of the healthcare reform will come first, and the more painful aspects such as higher taxes will come later, so cheaper healthcare stocks will do better in the next few months,” Miller said.