Gunmaker Stocks Rally as Hillary Clinton Calls for Tougher Laws

[Purveyor]

Source: Bloomberg

Yasufumi Saito
October 5, 2015 — 11:07 AM EDT

Smith & Wesson Holding Corp. and Sturm Ruger & Co. rose after comments by Democratic presidential candidate Hillary Clinton fueled concern among gun enthusiasts that restrictions on sales may be coming.

Clinton detailed proposals Monday aimed at closing gun-sale loopholes and holding sellers more accountable for how the weapons are used. President Barack Obama last week said he would pressure Congress to enact legislation that would curb firearms violence after a gunman killed nine people in Oregon.

Smith & Wesson surged 4.9 percent to $17.41 at 10:41 a.m. New York time, after climbing as much as 5.8 percent, the most intraday since Aug. 28. Sturm Ruger increased 2.9 percent to $58.10.

The gunmakers’ shares have seen gains in recent years in the wake of mass shootings that have led to increased calls for gun-ownership restrictions. Both companies also have seen sales rise in response to the politicians’ demands for tougher legislation. Those efforts have all fizzled.


Read more: http://www.bloomberg.com/news/articles/2015-10-05/gunmaker-stocks-rally-as-hillary-clinton-calls-for-tougher-laws

[NickB79]

1. Sad but predictable. nt

[jalan48]

2. Good for Hillary on this one.

[GGJohn]

3. How the hell do you hold the dealers accountable for how the firearms are used?

If the FFL dealer follows the law and sells a firearm, then later that person commits a crime with the firearm, how is the dealer responsible for that?

[onehandle]

5. Crushing and inconvenient laws and restrictions.

The tipping point approacheth...

tick, tick, tick....

[GGJohn]

6. No, seriously, something you've failed to be.

I would like a serious answer to my question.

[NickB79]

9. Where are these crushing laws, proposed by who?

Almost all the renewed calls for gun control recently have primarily centered around universal background checks (not at all crushing or inconvenient, already done in multiple states, and something 70% of gun owners support in recent polls) and increased sharing of data between mental health and federal databases to feed the background check system more accurate info.

Truly inconvenient laws, like a renewal of the 1994 Assault Weapons Ban, aren't even on the horizon in Washington at this point. And even a renewal of the AWB wouldn't reach the point of "crushing", as tens millions of firearms were still manufactured and sold while it was in effect.

[madville]

11. The 1994 AWB was pretty useless

AR-15s and AK-47 clones were still readily available and reasonably priced. The gun functions were the same as before and after the ban, it mainly addressed cosmetic characteristics.

I don't blame politicians for not wasting time with something similar to the old 1994 AWB.

Something useful like a mental health history database and mandatory reporting for mental health and other medical professionals would do more.

[ProgressiveEconomist]

12. Using crime gun tracing

In a typical year, 86 percent of firearms dealers sell no weapons used in crimes. But a small minority seem to specialize in running guns to out-of-state gangs and other criminals. 57 percent of crime guns trace back to 1.2 percent of firearms dealers.

These kinds of statistics could be used to target law-enforcement resources on catching the 1.2 percent in the act of selling to obvious straw purchasers or falsifying firearm sales records. But NRA bribery has led Congress to move in the opposite direction. Not only has Congress starved ATF for resources, but they've also by law prevented ATF and CDC even from gathering or using good data on the sources of guns used in homicides and other crimes.

[geek tragedy]

13. gives them an incentive to not sell to the wrong people.

they can buy insurance

[GGJohn]

14. How do they determine who the wrong people are if the buyer passes a background check?

I imagine they already carry insurance.

[patsimp]

16. Just don't be so emotional

If some innocent dealers are hurt, well, that's just the way things are. Emotion doesn't help the case.

[murielm99]

4. Gunmaker stocks and

sales always soar after a mass shooting. The nuts are afraid someone is going to take their guns away, so they stockpile.

[GGJohn]

7. Because after every one of these shootings,

certain pols start calling for bans, so the inevitable happens.
It's a vicious circle.

[murielm99]

8. You are not that different from me.

I am a farmer's wife. We are retired now, and someone else farms our property for us. But I have lived on a farm for thirty-seven years. We have guns. People who live in the country usually do.

I still think we need to do something more about our gun laws. I am not worried that someone is going to come and take our guns. We are the type of people who can pass any background check. I have a feeling you are, too.

[GGJohn]

10. We are quite similiar.

Never been in trouble with the law except for a traffic ticket about 25 years ago. I have no worries about the govt coming to confiscate firearms, Pres. Obama has been very good about the 2A.
I do agree that we do need to do something about our firearm laws, I would love to see the UBC bill passed and signed into law, also, beef up the ATF and start prosecuting straw buyers, enhanced penalties for use of a firearm during the commission of a crime.

I would love to see the WOD ended and use the funds for better mental health services.
Just a few suggestions.

[Gore1FL]

17. Mostly it's the "Thay R comin' fer yur guns!" bulshit the NRA puts out.

It's bullshit hyperbole that will eventually lead to the repeal of the 2nd, unless congress finally bows to 90% (70% of gun owners) who want common sense gun laws.

[LanternWaste]

15. Good marketing relies on stupid buyers.

Good corporate strategy relying on the idiocy of the lowest common denominator who will gleefully purchase any bill of goods if easily duped that simply one or two special interest groups will prevent them from doing so in the future.

Good marketing relies on stupid buyers.

[rockfordfile]

18. Not surprised

We still need to work on gun safety laws.

[IDemo]

19. "concern among gun enthusiasts that restrictions on sales may be coming. "

Someone please explain to me - I'm going to guess that the vast majority of the 'concerned' citizenry already own at minimum one firearm and more than likely several. Unlike other consumer items with planned obsolescence designed in to guarantee additional sales in the future for manufacturers, most guns are made to last with high quality steel and precision machining. So why the terror every time restrictions come up in the news; you still have an uncovered square foot of wall left to mount that brand new 9mm, or you really don't think you'll be safe without an arsenal in the house?

[MisterP]

20. hoarding