On Wednesday, the U.S congressional committee’s vote to pass a bill that effectively legalizes marijuana caused marijuana stocks to soar on Thursday.
What We Know:
- On Wednesday, the Judiciary Committee voted 24-10 to pass the Marijuana Opportunity Reinvestment and Expungement (More) Act. This marks the first time in history that a congressional committee has voted in approval of marijuana, according to The Hill.
- The U.S Congress is in the process of taking a step closer to getting the bill approved by the Democratic-controlled House of Representatives.
- If the MORE Act is signed into law it would have marijuana removed from the Controlled Substances Act, which would federally legalize cannabis across the country.
- According to Reuters, the bill caused shares for cannabis companies like Canopy Growth, Aurora Cannabis, Aphria Inc and Tilray Inc to shoot up between 8 percent and 15 percent.
- Weed companies have been spending heavily to expand their partnership in the U.S despite the shares in the sector being down more than 25 percent this year.
Currently, 11 U.S states have legalized marijuana for recreational use, while 33 states have approved it for medical purposes. Will the Democratic-Controlled House of Representatives pass their bill?