Cannabis stocks are heading higher on Wednesday as investors hope for the national legalization of the drug.
The positive movement for cannabis stocks comes as Senate Majority Leader Chuck Schumer calls for new legislation that would decriminalize marijuana. The politician also wants legislation “that will lift up people who were unfairly targeted in the War on Drugs.”
While there’s been talk of national legalization of marijuana in the past, it’s never come to fruition. However, that could change with Democrats in control of the Senate. Adding to that is some Republication Senators supporting legalization of the durg,
If this all works out, it could result in President Joe Biden signing a bill on marijuana. The President has previously said he doesn’t support full legalization but would be up for letting states decide. That means any legislation from Congress will likely go this route, reports MarketWatch.
With this recent news in mind, it only makes sense that cannabis stocks would be on the rise as investors pick up more shares of the stocks. Those seeing especially strong movement today include Tilray (NASDAQ:TLRY), Aurora Cannabis (NYSE:ACB), Canopy Growth (NASDAQ:CGC), Aphria (NASDAQ:APHA), and Sundial Growers (NASDAQ:SNDL).
TLRY stock was up 18.2%, ACB stock was up 7.6%, CGC stock was up 7.2%, APHA stock was up 14.8%, and SNDL stock was up 23.1% as of Wednesday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.