Gun stocks close higher, casinos lower after Las Vegas massacre

Financial Markets Wall Street
Buyers snapped up guns once again in anticipation of tighter controls.

The usual mantra with stock purchasing is that you buy on the rumor and sell on the news.

News of the latest massacre has upended that as gun manufacturers had a big morning on Wall Street hours after a mass shooting in Las Vegas left dozens dead and hundreds more injured. Gun stocks frequently tick up after major shootings in the belief there will be a run on guns before anticipated tighter controls. Over the years, we’ve seen the buying sprees continue, but not the tighter controls.

At the market’s 4 p.m. close:

Sturm, Ruger (RGR) was up $1.80 (3.48 percent), to $53.50. RGR hit a high of $55.13 Monday morning before profit-taking.

American Outdoors Brands (AOBC) was up $0.49 (3.21 percent), to $15.74. AOBC, which used to be called Smith & Wesson, hit a high of $16.50 Monday morning.

Stock news was not so good, however, for companies that own Las Vegas casinos.

MGM (MGM), which counts the Mandalay Bay — from where the gunman opened fire — among its casino holdings, was down $1.82 (5.58 percent), to $30.77, near its daily low of $30.695.

Wynn Resorts (WYNN) was down $1.85 (1.24 percent), to $147.07. WYNN hit a low Monday of $145.40.

In comparison, the Dow was up 0.68 percent to 22,557.60 and the NASDAQ up 0.32 percent to 6,516.72.