The haze may finally be lifting over Canadian cannabis equities. On Tuesday, shares in Tilray Inc (NASDAQ:TLRY), Canopy Growth Corporation (TSX:WEED, NYSE:CGC) and Auxly Cannabis Group Inc (TSX:XLY) were among the most actively traded gainers, buoyed by renewed optimism that U.S. policymakers are edging closer to softening federal restrictions on marijuana.
Washington chatter has intensified over the past week that cannabis could be reclassified under U.S. drug laws, shifting it away from the strictest Schedule I designation.
Such a move would not amount to outright legalisation, but it would reduce barriers to medical research, loosen tax rules that weigh on operators, and signal a more tolerant federal stance.
For producers, the prospect alone has been enough to reignite speculative interest.
Investors also took note of international progress. North American firms are pushing more aggressively into Europe, where Germany has taken steps to liberalise access.
High Tide’s majority acquisition of German distributor Remexian underscored how expansion abroad is becoming a key growth lever for the industry.
Tilray led the pack with a 9% jump, with Canopy up 5% and Auxly up 4%.