Cannabis Stocks Surge in 2025 as Trump Advocates for Eased Marijuana Restrictions
Explore how former President Donald Trump's recent endorsement of relaxed marijuana laws is driving cannabis stocks higher, signaling a potential shift in U.S. drug policy and investment opportunities.
Bill McColl brings over 25 years of expertise as a senior producer and writer across TV, radio, and digital platforms, leading teams in delivering impactful news coverage on major events.
Highlights
- Former President Donald Trump publicly supports easing restrictions on cannabis, boosting stock prices for marijuana companies.
- Trump proposes reclassifying marijuana as a Schedule III drug and collaborating with Congress to establish secure banking solutions for cannabis businesses.
- He also expressed his intention to vote for Florida's constitutional amendment legalizing adult marijuana use in 2024.
On Monday, shares of leading cannabis companies such as Canopy Growth (CGC) and Tilray Brands (TLRY) experienced significant gains during intraday trading following Trump's announcement endorsing reduced marijuana regulations.
Through his social media platform Truth Social, owned by Trump Media & Technology Group (DJT), Trump emphasized the need to "end unnecessary arrests and imprisonment of adults for small amounts of marijuana used personally." He pledged that if elected, he would prioritize lowering marijuana's classification to Schedule III and work alongside Congress to pass pragmatic legislation, including safe banking provisions for state-licensed cannabis firms.
Trump Champions State Autonomy on Marijuana Legislation
Trump affirmed his support for states' rights to enact marijuana laws, highlighting his plan to vote in favor of Florida's Amendment 3 this November, which legalizes marijuana use for adults aged 21 and over.
In a recent post, Trump predicted the amendment would succeed, stating, "We should not ruin lives or waste taxpayer money by arresting adults carrying small amounts of marijuana."
Notably, Vice President Kamala Harris, Trump's Democratic opponent, has also voiced opposition to incarcerating individuals for minor marijuana possession.
The AdvisorShares Pure U.S. Cannabis ETF (MSOS), the largest cannabis-focused exchange-traded fund, surged over 9% by mid-afternoon on Monday, reflecting investor optimism.
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