Shares of U.S. gunmakers rose Monday, bucking declines in the broader market, amid renewed calls for gun control measures following mass shootings in Texas and Ohio over the weekend.
Gun company stocks have typically traded higher after mass shootings as consumers may step up purchases to get ahead of potential regulatory changes that could make it more difficult to obtain guns. President Donald Trump earlier this morning tweeted about linking “strong background checks” and immigration reforms, although he didn’t discuss gun control in later remarks on the shootings.
American Outdoor Brands Corp., which makes Smith & Wesson firearms, rose as much as 7.5%, while Sturm Ruger & Co. Inc. rose 3.8%. Ammunition maker Vista Outdoor Inc. gained as much as 2% earlier. The S&P 500 Index fell 2.3% on rising trade tensions between the U.S. and China
Michael Bloomberg, founder of Bloomberg LP, serves on the advisory board of Everytown for Gun Safety, which advocates stiffer firearm legislation.
--With assistance from Courtney Dentch.
This article was provided by Blooomberg News.