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Private prison stocks soar after Jeff Sessions rescinds Obama order that curtailed their use

Shares of U.S. private prison companies jumped today after Attorney General Jeff Sessions rescinded an Obama-issued memo meant to curtail their use by the federal government. Shares of CoreCivic—formerly the Corrections Corporation of America—were up almost 3% in after-hours trading. Similarly, GEO Group saw a bump, though not quite as large. 

  

As was reported earlier, Sessions directed the Bureau of Prisons to resume contracting with private prisons. Politico reported in October that GEO Group had retained a number of lobbyists to focus on various issues—among them two former aides to Sessions, who were to focus specifically on the federal use of contracts.CZ