Shares of Canopy Growth Corporation (TSX:WEED, NYSE:CGC) had added almost 50% on Monday morning, sending its share price above $1, as cannabis stocks continued to benefit from the news that US health officials have recommended the re-scheduling of marijuana as a lower-risk drug.
The recommendation from the Department of Health and Human Services (HHS) to the Drug Enforcement Administration (DEA) in an August 29 letter has seen struggling cannabis stocks gain momentum.
The highly anticipated Secure and Fair Enforcement (SAFE) Banking Act, which would remove penalties for companies providing banking services to legitimate cannabis-related businesses, could also be progressed in the next six weeks, according to Senate Banking Committee chair Sherrod Brown (Democrat-Ohio).
Brown told PunchBowl News last Monday that he had spoken with Senate Majority Leader Chuck Schumer about progressing key bills during the fall, including cannabis banking reform.
On Monday morning, Canopy Growth shares had added 46.1% to US$1.37.
Other cannabis stocks saw significant gains, including Aurora Cannabis Inc (TSX:ACB, NASDAQ:ACB), which had added 50% at US$0.79.
Curaleaf Hldgs Inc. (CSE:CURA, OTCQX:CURLF) was up 11.1%, Cresco Labs Inc. (CSE:CL, OTCQX:CRLBF) was up 10.1%, Tilray Inc (NASDAQ:TLRY) was up 9.6%, Trulieve Cannabis Corp. (CSE:TRUL) had gained 7.1%, Green Thumb Industries Inc. (CSE:GTII, OTCQX:GTBIF)was up 6.9% and Jushi Holdings Inc (CSE:JUSH, OTCQX:JUSHF) had added 4.5%.
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