Word Salad

Talk is cheap in Cannaland.

Daily Recap

In a bid to win the support of Black men, an electorate that is reportedly on the fence in voting for her, Vice President Kamala Harris, the Democratic presidential candidate, is promising federal legalization for cannabis.

The Harris campaign's announcement is encouraging, said some industry insiders, but the reality is that full federal legislation would be complex given the cannabis industry is operating on a state-by-state approach, which is how the industry was created.

Table Setting

With the ALJ hearing scheduled for December 2 and a final rule expected thereafter, change is on the horizon for the U.S. cannabis industry. The move will boost profits for stakeholders and ease many of the challenges business owners currently face.

Important changes would include the ability to take tax deductions (removal of IRC 280E), insurance and banking access for dispensaries, freedom to market, as well as new regulatory requirements that could have an uneven impact on the industry.

Bank Shot

As the marijuana industry continues to expand, a new economic analysis finds that the capital that cannabis businesses are expected to need will translate into upwards of $2.4 billion in revenue for banks from loan interest payments over the next 10 years.

While it’s difficult to anticipate how big the cannabis industry will become in the next decade, the analysis projects that sales will ramp from $28.8B last year to $87B in ‘35.

Detroit Mercy

The Michigan Appeals Court effectively plugged a loophole in Michigan’s marijuana laws in a Tuesday ruling, unrestricting prosecutors' ability to pursue felony charges against individuals possessing and distributing large amounts of cannabis without a state-issued license.

Stocks & Stuff

It was Groundhog Day in Cannaland as high anxiety and low volume continued to dominate the landscape. U.S. cannabis ETF MSOS finished the session -2% as it continues to hug the YTD flatline.

Below, we’ll top-line the landscape, chew through the electoral implications, discuss possible political placements, and check on channels from New York to Florida.

All that and more, just scroll down.

SPY 0.00%↑ QQQ 0.00%↑ IWM 0.00%↑ MSOS 0.00%↑ ETF Notional: $51M

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