US weed stocks surge as more States vote on legalising marijuana
US cannabis stocks surged overnight as four American states moved closer to legalising marijuana.
Voters in Michigan and North Dakota are considering the full recreational use of marijuana for individuals over the age of 21.
Meanwhile, citizens in Missouri and Utah are voting for medical use of marijuana.
As a result, North American weed stocks were rising across the board at 7am AEST:
High-flying cannabis stocks have caught the attention of investors this year. In October, Canada became the second country after Uruguay to legalise the recreational use of marijuana.
At the time, Jon Trauben, managing partner at the cannabis-focused Altitude Investment Management, said, “We believe that the legalisation in Canada offers a road map to invest in the companies that will form the basis of the legal cannabis industry in the coming years.”
In the two months before Canada’s recreational legalisation, the biggest cannabis stocks all more than doubled in value.
But after the legalization, they were hard hit.
While marijuana is not allowed at the federal level in the US, some states have already opened the door for the market.
This year, Vermont became the 10th state to allow the sale and full use of marijuana. Medical marijuana is allowed in 32 states so far.
In Australia there are about 30 ASX-listed cannabis stocks — and they are starting to make money according to the latest quarterlies.