With the biggest opponent to cannabis out of the way, the federal government has an easier path to pro-cannabis measures. That will open up the floodgates for publicly traded cannabis firms, especially those operating in the United States.
We knew November 7 was going to be a historic day for the cannabis business – Cannabis Profits Daily and the National Institute for Cannabis Investors had been saying as much in the lead up.
But, in another example that the cannabis industry moves at hyperspeed, the real story of the day was virtually impossible to predict, at least in the sense of timing.
Three states’ voters passed pro-cannabis legislation. Those included one of America’s most populous states, Michigan, approving recreational cannabis and one of America’s most conservative populations, that of Utah, recognizing the benefits of medical cannabis.
By midday, this was starting to get more attention, and stocks spent the next couple of hours gaining in value.
Then, it happened.
The number one opponent of legal cannabis in the United States lost all of his power to hold back the fastest growing industry on the planet. And investors need to know just how important this is to the growth of cannabis as a business in the United States.
Here is what’s going on…
Sessions’ Resignation Primes the Pump for States’ Rights, Loosened Regulations
Jeff Sessions, the Attorney General of the United States, resigned under pressure from President Donald Trump. It’s been apparent for quite some time that Sessions was losing favor with the president, who acknowledged the positive results medical marijuana was having even back when he was campaigning for the Republican primary and said during a tarmac-side presser that he would sign certain pro-cannabis measures once they made it to his desk.
It was really just a matter of time before Trump officially asked Sessions to leave his post. But nobody predicted it would come in the hours following the most closely watched midterm elections in modern memory.
The important thing for investors is that Sessions, as attorney general, had direct authority over many of the federal agencies that enforce the federal government’s prohibition on cannabis. Being the most vocal and high-profile cannabis opponent within the Trump administration – one who caused stock crashes multiple times in 2017 because of public threats to the industry and one who had spats with other cabinet members who see marijuana as a medicine because of what it can do for veterans and seniors – the administration was unlikely to do anything positive about cannabis.
With that significant obstacle gone, cannabis stocks spent the rest of Wednesday’s trading session soaring.
The National Institute for Cannabis Investors top measures for industry stocks – the NICI U.S. Cannabis Index and the NICI 50 – each closed the day up by more than 4%. These rolling metrics are featured on the bottom of our front page of our NICinvestor.com website 24/7.
Sessions’ departure does not clarify every stop on the path to legalization, however.
The new acting attorney general, Matt Whitaker, does not have a history of commenting about cannabis. And while Trump and many among his cabinet have made positive comments about cannabis, there has been little presented by any of them about a plan of action during Trump’s first term.
That creates uncertainty about timing – though we know that legalization as an end goal is on the horizon within the next few years. Poll numbers show this. Recent baby steps by government actions such as the approval of a cannabis-based drug by a federal agency strongly hint at it. Even the well-connected former Speaker of the House John Boehner all but confirmed it during NICI’s American Cannabis Summit.
Let me tell you why that lingering uncertainty about the timetable of things is such good news for cannabis investors.
Ongoing Catalysts Will Create Massive Gains
As certain issues facing the cannabis industry are resolved piecemeal, there will be further days of stock spikes. This can come from a state legislature acting on something marijuana-related, a new pharmaceutical passage, larger federal change, or literally dozens of other actions.
We can identify several “uncertainties” that will be clarified in just the next few months:
- Two Eastern U.S. states will approve recreational use cannabis.
- The Farm Bill will pass Congress – and the president will sign it – further normalizing hemp as a crop like wheat or corn.
- The Medical Cannabis Research Act will pass Congress – and the president will sign it – requiring the Department of Justice to allow more domestic growth of cannabis dedicated to research purposes.
Beyond that, there could be several “surprises” – more in timing than with what actually happens. Banking reform, tax reform, and increased access to cannabis for veterans are all issues that Congressional committees are already pondering. Even the biggest event of all – the removal of THC-containing cannabis from Schedule I of the Controlled Substances Act – could come at moment’s notice.
The industry could double in the blink of an eye at that point.
All of these “uncertainties” and the “surprises” will produce big gains for cannabis investors when they happen.
The key is to have your money in cannabis stocks before that happens.
Because, as you saw yesterday, the stock price surge is almost immediate – by the time you get an order in, you’ve missed out on a portion of those gains. Gains like the ones my Cannabis Investor’s Report members are enjoying right now…
Thanks for being an important part of the National Institute for Cannabis Investors,
Executive Director, National Institute for Cannabis Investors
P.S. How many industries do you know of where you can make one small investment today…And in just a few months – maybe a year or two – have that investment make you a millionaire? Frankly, there haven’t been many that existed in history.
Cannabis is the fastest-growing industry on Earth. As it stands, this market is set to explode from $10.8 billion a year, to $100 billion, and quite possibly $1 trillion. Meaning that just one tiny investment could soon put you in a new class of “marijuana millionaires.”
Think about this…As you read this, big investment firms and members of the Fortune 500 are building enormous war chests. They’re all preparing to push billions upon billions of dollars into this market. And they could strike at any moment. So right now, you have a once-in-a-lifetime opportunity to beat them to the punch and stake your claim.
If you want to learn more about the cannabis industry…If you’re seeking a way to break into this lucrative market…Or if you’ve been biding your time, waiting for the right moment…Then pay very close attention to everything you’re about to hear.
Because America’s green gold rush is just getting started.
4 responses to “Opportunity Soars With Top Cannabis Opponent Now Gone”
November 08 2018