Eight is Enough

Cannabis stocks continue to slump

Daily Recap

The 2023 Everything* Rally resumed today as the cannabis stock cringe continued.

U.S cannabis ETF MSOS registered it’s eighth straight day of losses, which is also a 20% decline from levels last seen on July 10th, as it probes a fresh all-time low.

The sadness largely stems from a summer cocktail mixed with several ingredients:

1-part: the inability of our senate to move SAFE Banking by the August recess.

1-part: conventional wisdom the space is toe-tagged ‘til September, if not longer.

[ ^ given cap markets access/ current tax regime]

1-part, four equal measures: towel-tossing, seething sentiment, structural deficiencies, and buyer’s strike (ban).

note: this should be served shaken and stirred to best reflect the seasonal sensation.

When today’s dust settled, all of $21M U.S plant-touching notional volume traded, yet the latest example that these listings are a public reflection of private equity.

That lack of volume belies a global movement: just today, the Czech President voiced support for legalization (“it does less harm than other legal drugs); Colombia is again pushing legalization (lawmakers narrowly failed a month ago); there was a ‘landmark’ CBD ruling in the UK; Maryland sold more than $42M of cannabis last weekend, the Florida Supreme Court is about to hear several high-profile cannabis cases; Ohio’s effort to qualify for the November ballot fell 679 signatures short (they have ten days to fix it) and The Facts Aren’t Insults Tour continues.

All that, and more, below…

SPY 0.00%↑ QQQ 0.00%↑ IWM 0.00%↑ MSOS 0.00%↑ PT Notional: $21M

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