Ice Capades

Canadian canna on a power play.

Daily Recap

Support for rescheduling is pouring in as the Biden administration considers moving cannabis from Schedule I to Schedule III. HHS already made their recommendation and as we await the DEA’s proposed or final ruling, politicians and attorney generals have now entered the chat.

Rescheduling isn’t a done deal—there’s some opposition and the DEA/ DOJ have a history of opposing cannabis reform. Still, the move has gained powerful allies, a binding “medical and scientific evaluation” and scheduling recommendation (HHS) and (likely) a similarly binding legal interpretation of the U.N treaty (OLC).

Rays of Light ☀️

The Florida campaign behind the cannabis legalization initiative that will be on the November ballot has announced that it’s raised an additional $15M from a variety of major cannabis operators as it gears up for an effort to raise awareness.

Verano, Curaleaf, AYR Wellness, Cresco, Green Thumb and INSA are new supporters, joining Trulieve, which footed most of the bill until now.

“We’re not only pleased that the court has agreed to move this initiative forward, but we are also thrilled to announce a strong alliance of committed donors to the effort.”

Los Lobos 🌵

Sales of legal marijuana in New Mexico set a new monthly record in March, with combined adult-use and medical marijuana purchases totaling more than $52.5M.

The new combined record is more than $2M more than the state’s previous high-water mark of $50.5M in combined medical and adult-use sales, set in December.

Stocks & Stuff

It was a positive day for cannabis stocks on both sides of the border, albeit with varied degrees of success. U.S. cannabis ETF MSOS finished the session up more than 3%, while their neighbors to the north enjoyed a more, how shall we say, spirited sprint.

Below, we’ll chew through today’s price action, dig deeper on the post-earnings/ pre-next-catalyst dynamics, touch on the looming capital raises, highlight the chart of the day, check on some fundies and highlight a few trading vehicles.

All that and more, just scroll down.

$SPY +.12% $QQQ +.22% $IWM + .63% $MSOS +3.36% PT Notional: $173M ($97M)

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