Marijuana stocks and exchange-traded funds were on fire in the New Year until Attorney General Jeff Sessions ignited a sell-off Thursday upon announcing that he’s retracting the Cole Memo, which lets individual states legalize cannabis without fear federal prosecutors will go after companies for trafficking.
Cannabics Pharmaceuticals, Medical Marijuana, United Cannabis, GreenGro Technologies, MassRoots and mCig crashed 25% to 30% each after flying high the two sessions prior as California’s new marijuana laws went into effect. ETFMG Alternative Harvest ETF plunged 6%. Its Canadian counterpart, Horizons Marijuana Life Sciences Index ETF, dropped 8%. It trades over the counter in the U.S. under the ticker HMLSF.
Investors can(nabis) relax. In every crisis, there is an opportunity. Sessions’ crackdown on legal marijuana in the U.S. will fuel Canadian marijuana companies, in the long run, industry leaders say.
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