Shanda Jumps Again

Shanda (SNDA) rose more than $5 or 12% today, as the run in gaming stocks continues. Tickerspy attributed the move to the success of the new game Aion, after 500,000 Chinese gamers signed up for beta testing on the first day.

Hard to tell how far this can run, but I believe that video games have replaced movies as the escape entertainment. During the Depression, movie attendance rose, and we're seeing a similar rise today. That's strong evidence in favor of a rise in video game sales as well, especially since it offers a more immersive form of escapism.