HOW IS IT THAT NEWS OF A GOOD COVID VACCINE IS MAKING ALL GUN STOCKS TUMBLE IN PRICE?
So I really don’t get it. We just got the news that two different Covid vaccine trials went better than anyone expected. Like, we’re talking about a 90% effectiveness rate. And that’s some great news to get right about 6 months ago. We could even see a limited release and find out how they work in the next two months. Great! But not for some folks. Like, gun enthusiasts. So what the hell is that about? Companies that makes guns saw their stocks fall over 9-12% when the Covid vaccine news made waves across the world. But why? What has one got to do with the other?
HOW CAN GOOD NEWS CAUSE GUN STOCK PRICES FALL HARD? COULD IT BE LESS FEAR?
So to be frank, I don’t like guns. Or, rather, how easy it is to get them. And that colors my opinion of gun companies, gun sales, and most especially the NRA. The NRA is an idea about guns for everyone. Not gun safety. So I’m not too bummed out hearing that the Covid vaccine news impacted bun companies stocks. Not in the slightest. Smith & Wesson gun stocks have taken a particularly brutal hit. In every trading session since the election, their stock has dropped at least 6%. But again, why?
GUN STOCKS TOOK A MAJOR HIT BECAUSE PEOPLE FEEL LESS ANXIETY, SO FEAR MAKES GUN OWNERS
Well, anxiety, that’s what. But what do I mean? Well, people with anxiety seem to think that they need guns. And the more anxiety there is out there, the more guns people buy. Seriously. And with the “unrest” we’ve experienced with the pandemic, anxieties have been high. Higher than ever since the 1960’s. Maybe even since World War II. But the pandemic saw sales of over 17 million guns. That breaks every record going back 20 years. So fear sells guns. Well, among other things. I’ll leave Napoleon out of it. But that’s not saying much. It’s not the size of the gun, it’s the size of our fear. And gun stocks just proved it in yet another way.