On a day when the Dow Jones Industrial Average has plummeted by over 200 points, gun stocks have bucked the trend and are surging as fears over an Obama lame duck second term eviscerating second amendment rights take hold.
Both Smith & Wesson and Ruger saw their stock price shoot up this morning when virtually everyone else was in the red.
At one point Smith & Wesson surged over 10% before dropping back to 7.4% gains at time of press.
Ruger also made impressive gains and was up by almost 3% at time of writing. Both stocks went parabolic at the start of trading.
The activity is undoubtedly related to the likelihood that gun sales are set to explode even higher as a result of Obama securing a second term in the White House last night.
As we reported last week, firearms store owners are labeling Barack Obama the best gun salesman they ever had as concerns over what Obama will do to gun rights in a lame duck administration spur record sales.
Ruger’s sales are up 86 percent since Obama took office and the company’s previous quarter sales demolished all expectations, with sales totaling $118 million dollars.
Smith & Wesson and other gun manufacturers are also being forced to hire more staff and increase production capacity to meet demand.