Lurch

U.S. canna takes a giant step.

Daily Recap

The Justice Department formally started the process of classifying marijuana as a less dangerous substance, moving toward a historic change in US drug policy.

The agency submitted a rulemaking notice to shift cannabis’ legal status to Schedule III from Schedule I. A 60-day public comment period will now begin, after which the DEA and DOJ will make a decision on how and when to stick the final landing.

Read the Room

Nearly 7 out of every 10 voters, including a majority of Republicans, support legalizing cannabis, according to a Fox News poll that found that 69% of registered voters in the U.S. want to end prohibition altogether (45% of which “strongly” favor the reform).

There’s support across the political and demographic spectrum, too. Dems are most likely to back the policy at 81% but 55% of GOP voters and 65% of independents are also on board.

Eurovision

Medical cannabis is taking over Europe as well, with efforts to decriminalize cannabis in numerous countries at local levels. Similar to what took place in the U.S., European nations are legalizing medical or adult-use cannabis through a patchwork of new laws.

Of the 27 EU countries—Austria, Belgium, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain and Sweden—only six (Bulgaria, Hungary, Latvia, Lithuania, Slovakia and Sweden) are still affixed to their prohibitionist roots.

Research Assistant

If marijuana is rescheduled to a Schedule III substance, it won’t change laws regulating cannabis research but the demand for research of the plant and cannabis for research purposes will grow, legal experts and marijuana producers say.

“It’ll make researchers within universities or hospitals and private companies better armed to say, ‘We should be doing this, and we can be doing this.’”

We believe they’ll be absolutely amazed at what they find. 👈

Stocks & Stuff

It was another whippy day in Cannaland as the ETF spend the session in search of it’s special purpose as the clock ran out on May paper. U.S. cannabis ETF MSOS finished the session -2% to end this five-session set with a 3.5% gain.

Below, we’ll dive into the rulemaking process and timing thereof, digest the interplay bw the structural impediments and technical agendas, recap best-in-breed earnings, synthesize the well-placed aggravation and spy the upside of anger.

All that and more, just scroll down.

SPY 0.00%↑ QQQ 0.00%↑ IWM 0.00%↑ MSOS 0.00%↑ PT Notional: $175M/ $116M

Top Stories