Cannabis stocks have seen a meteoric rise in the wake of Vice President Kamala Harris’s strong push for the Drug Enforcement Administration (DEA) to urgently reconsider the scheduling of marijuana. Harris’s statement, characterizing the current Schedule 1 classification of cannabis alongside heroin as “absurd” and “patently unfair,” has set the stage for potential policy shifts in the industry, akin to the ripple effect of a pebble in a pond.
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In a White House meeting with individuals granted pardons for marijuana-related offenses, Harris emphasized the administration’s commitment to expediting the marijuana rescheduling process. This includes recent directives leading to the U.S. Department of Health and Human Services recommending changes to the Controlled Substances Act regarding marijuana.
Urging swift action, Harris stressed, “They need to get to it as quickly as possible. And we need to have a resolution based on their findings and their assessment,” reflecting the urgency and priority accorded to this matter.
Congressional discrepancies currently exist between federal cannabis laws and numerous state regulations that have decriminalized or legalized cannabis for both medical and recreational purposes, leading to a disjointed landscape in the industry.
“Nobody should face imprisonment for using marijuana. The focus needs to shift towards acknowledging the unjust incarceration of countless individuals for mere marijuana possession,” voiced Harris, underlining a commitment to rectify past injustices and chart a more equitable future for cannabis users.
Cannabis Stocks Rally on Optimistic Policy Signals
The cannabis market witnessed a robust upswing on Monday, with major players such as Canopy Growth (NASDAQ:CGC) and Aurora Cannabis (NASDAQ:ACB) emerging as the frontrunners, marking substantial gains of 20% and 16%, respectively. Riding the wave, Tilray (NASDAQ:TLRY) closely followed with an 11% surge in its stock price.
Even though Sundial (NASDAQ:SNDL) posted comparatively modest gains of about 6.5%, the positive momentum across the sector signifies a broader market optimism following Harris’s compelling statements regarding marijuana rescheduling.
At the time of publication, Shrey Dua had no direct or indirect positions in the securities discussed in the article. The views expressed are solely those of the author, in accordance with the InvestorPlace.com Publishing Guidelines.
