While the post-election world has seen its share of craziness, the news has been nothing but good for the cannabis industry. According to a report in Marketwatch in Monday, post-election cannabis stocks continue to rise, proving once and for all that you can never count the cannabis market out for too long.
Stocks were buoyed by two sets of decent news, from both the US House and the United Nations. According to reports, the House is finally set to vote on cannabis legalization — something they abandoned just before the election — while the United Nations Commission on Narcotic Drugs will hold a vote of its own.
“Just after markets closed early on Black Friday, the House announced a scheduled vote Wednesday on the Marijuana Opportunity Reinvestment and Expungement Act,” noted a report in Marketwatch. “The bill, known by the acronym MORE, would decriminalize marijuana on the federal level and make other changes, though it is unlikely to become law soon because the U.S. Senate has not shown willingness to act on it.”
And, if the news weren’t good enough, the United Nations is set to vote on WHO recommendations as well.
“The United Nations Commission on Narcotic Drugs will begin meeting on Wednesday as well, and is expected to vote on World Health Organization recommendations related to cannabis,” the site wrote. “The most prominent suggestion is to remove cannabis from a list of illegal narcotics, which — while largely symbolic — could help with legalization efforts in several countries, especially regarding medicinal marijuana.”
Cannabis activists and business representatives across the country celebrated the moves.
“By advancing the MORE Act, the House of Representatives sends an unmistakable signal that America is ready to close the book on marijuana prohibition and end the senseless oppression and fear that this failed policy wreaks on otherwise law-abiding citizens,” NORML Political Director Justin Strekal said in a statement.
“Americans are ready to responsibly legalize and regulate marijuana, and this vote shows some lawmakers are finally listening.”
But, more importantly for investors, the news sent stocks soaring.
According to MarketWatch, “Aurora Cannabis Inc. jumped as much as 19% in Monday trading.” Meanwhile, Sundial Growers Inc. saw shares double.
It was a banner day for stocks across the industry.
“Tilray Inc. gained as much as 12.8%, Aphria Inc. gained more than 12% at its peak, and cannabis-pharmaceuticals company GW Pharmaceutical PLC increased in value by more than 7%,” wrote MarkWatch. “The ETFMG Alternative Harvest and Horizon Marijuana Life Sciences Index both were more than 3% higher at times in Monday trading.”
Congress “must capitalize on this momentum,” Rep. Earl Blumenauer said in a statement. It looks as if the markets already have.