The marijuana stock market in the United States took a dip earlier in the month in the fallout of Attorney General Jeff Sessions’ efforts to block the legalization of cannabis, but it is not scaring off investors and is not detracting from a promising Canadian cannabis stocks market.
The Canadian marijuana market is expected to reach $4.5 billion in legal sales by 2021, numbers that continue to prove the viability of the stocks. Additionally, full cannabis legalization is expected to roll out in Canada in July of this year.
On January 4th Sessions rescinded the “Cole Memo,” a policy that protected cannabis businesses in states that legalized marijuana from federal prosecution, in his war against legalization of marijuana, and the stocks suffered.
Cannabis Sativa Inc. (OTCMKTS: CBDS) was down 25.62% at one point during the day while GrowGeneration Corp. (OTCMKTS: GRWG) stocks fell 27%, to an intraday low, on the day Sessions made his push.
However, while there was initial panic, the stocks bounced back.
The CBDS stock price was trading at $8.20 per share as of January 9th, a 20.23% boost from January 4th numbers. In comparison, GRWG rallied back to hit $4.64 per share on January 9th.
While Sessions may feel otherwise, it’s becoming apparent that the marijuana stock market is going to be tough to stop and may, at this point, be too big to stop as investors and politicians alike find it hard to ignore the enormous potential of the industry.
It will also help seeing Canada’s growth, which will likely hurt Sessions’ crusade.