John Maddening

Cannaland continues to confound.

Daily Recap

The Biden administration’s drug czar said the DOJ’s recommendation to move canna to Schedule III of the CSA is one “based on science and evidence,” adding the change will ease research restrictions around the use of cannabis to treat “chronic illnesses, chronic pain and diseases like cancer.”

“It’s been quite a bit of science that has developed over the last few years, certainly since more than a half century ago when those placements happened, that show us that this may not be where it belongs.” -ONDCP Director Rahul Gupta

Farm System

An amendment to close the loophole permitting intoxicating hemp products was filed ahead of Thursday's farm bill markup in the House Agriculture Committee by Rep. Mary Miller (R-Ill.).

As written, the language would change the definition of legal hemp to only include non-intoxicating cannabinoids derived naturally from the cannabis plant, as opposed to hemp derivatives like Delta-8 THC and Delta-10 THC that have psychoactive effects.

Army Training, Sir!

A key GOP House committee has approved a large-scale defense bill with a number of cannabis and psychedelics provisions attached, including a proposal to prohibit the military from testing recruits for cannabis.

Members also accepted an amendment from Rep. Nancy Mace (R-SC) that would require the Department of Defense to issue a report on how many service members have been discharged due to marijuana.

Ms. America: 🌿

A new report from an equity-focused marijuana advocacy organization finds nearly two thirds of American adults want legalization laws to prioritize social equity (68%), end cannabis arrests (68%) and ensure that people have legal access to canna (65%).

The vast majority—85%—think legalization should benefit people who use canna as medicine, while 63% said the policy should benefit those who use canna for pleasure.

Stocks & Stuff

It was banger in Cannaland as the bears pounced on the structurally challenged sector as buyers remain gated/ sidelined ahead of clarity on the timing of a final S3 rule or a line of sight on custody. U.S. canna ETF MSOS shed 8% to close at its lowest level in two months.

Below, we’ll chew through today’s price action, take the pulse of big money buyers, spy a few U.S. canna ketchup plays and weigh the risks of a cruel summer against the potential rewards of what’s to come.

All that and more, just scroll down.

Note: there will be no Cannabis Confidential tomorrow. Enjoy the long weekend.

SPY 0.00%↑ QQQ 0.00%↑ IWM 0.00%↑ MSOS 0.00%↑ PT Notional: $172/ $113M

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