A husband and wife shot up an office party at the San Bernardino, California Inland Regional Center on Wednesday. On Thursday, as the markets opened, shares of the largest gun manufacturers shot up. When there’s mass killing somewhere in America, the companies make a killing on Wall Street. Two of the largest companies, Sturm, Ruger & Co. Inc. and Smith & Wesson Holding Corp. had a very lucrative day and a half following the news of the mass shooting. International Business Times reported:
Shares of two major American gunmakers settled up slightly on Thursday after a spike in share prices following Wednesday’s shooting in San Bernardino, California. Sturm, Ruger & Company (NYSE:RGR) ended Thursday up 0.78 percent, to $52.96, after an intra-day 5.3 percent jump to $55.34.
Smith & Wesson Holding Corp. (NASDAQ:SWHC) ended the day almost flat, up 0.16 percent to $18.36 after rising 3.7 percent to $18.36.
Investors flocked to weapons stocks following the shooting, driving up the value of the shares. Arms manufacturers expect to see a dramatic spike in gun sales following a mass shooting. People run out to buy firearms because they fear new gun control measures. The manufacturers themselves, and their lobbyists, like the extremely powerful NRA, stoke this paranoia intentionally to drive up sales.
The spike in gun sales, in turn, puts more guns on the street. America is the only country in the world where there are nearly as many firearms as human beings. It has been demonstrated repeatedly that areas with more guns have more homicide. Increased homicide, in turn, increases fear, which increases gun purchases.
The NRA also corrupts most of Congress so that gun reform is impossible, even while convincing people that gun control is an imminent threat. The gun manufacturers have a very neat and tidy feedback loop of profit for their businesses.
Only one thing underpins the entire problem of shooting deaths in America. The 33,000 deaths a year, the now almost daily mass shootings, are a result of pure, unadulterated greed. Human life has no value whatsoever on Wall St. But the shares of gun companies have a very real value, and it climbs when people are dying. When blood flows in the streets of America, champagne flows in the boardrooms of Wall Street.