Why did healthcare stocks in the testing space rally so sharply on 23 March; especially stocks like *** Path Labs and Thyrocare?

Let me clarify that while both these stocks did rally in the early trades, they gave up all their gains and ended in 10% lower circuit. But there were some positive cues on the stocks. Dr *** Path Labs and Thyrocare soared in an otherwise weak market after the government allowed private laboratories to conduct blood tests for the Coronavirus (Covid-19). As per the guidelines issued by the ICMR (Indian Council of Medical Research), all private laboratories with National Accreditation Board for Testing and Calibration Laboratories accreditation for real-time polymerase chain reaction assay for RNA virus would be allowed to conduct Covid-19 tests. Earlier on Saturday, ICMR issued guidelines that all commercial kits for real time PCR-based diagnosis of Covid-19 should either meet US FDA standards or the European certification standards. With the number of COVID-19 cases crossing 400 in India, national laboratories have also been allowed to carry out clinical testing of Covid-19. Death toll due to the novel Coronavirus pandemic rose to 7 in India on Sunday. The state of Maharashtra has been the worst affected in India followed by Kerala and Delhi.