Cannabis stocks enjoy Biden-fueled high
Cannabis companies’ stocks surged after US President Joe Biden announced on Thursday that he would pardon thousands of people found guilty of marijuana possession and launched a review of the drug’s status at a federal level.
Shares in US and Canadian cannabis growers and sellers moved up sharply on the announcement.
Stock in Canopy Growth, jumped 22% on the Nasdaq, Trulieve Cannabis gained 36%, Curaleaf and Tilray Holdings also both soared over 30%.
Canopy Growth hailed Biden’s announcement, describing it as “an acknowledgement that cannabis prohibition has failed and that too many lives have been significantly impacted as a result,” CNBC quoted from a company statement.
The move could affect 6,500 people and would reverse federal convictions. In his speech, Biden urged state authorities to follow suit.
Biden also called on officials to start a review process of how marijuana is classified under federal law. At the moment the dug falls under the same classification as heroin and LSD.
“No one should be in jail just for using or possessing marijuana,” the president said. The pardons will come after a review process overseen by the Attorney General.
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