Cannabis stocks jumped on Monday, a day after President Donald Trump posted a video on his Truth Social site that highlighted the endocannabinoid system and the potential benefits of cannabidiol (CBD) for senior healthcare.
The signal of apparent White House support for medical cannabis prompted a fresh round of speculation about the president’s plans for marijuana rescheduling as well as a stock rally.
U.S.-listed shares of Canopy Growth and Tilray Brands soared nearly 20% in premarket trading, while Cronos Group rose 9.5% and Aurora Cannabis climbed 13.7%, according to Reuters.
The AdvisorShares Pure U.S. Cannabis exchange-traded fund skyrocketed 25.2%, positioning for a record-braking quarterly gain of about 70%.
Donald Trump posts pro-medical marijuana video on Truth Social
The video touts the benefits of hemp-derived CBD, noting that 20% of seniors already are using it for a variety of ailments and calling it the “most important senior health initiative of the century.”
It suggests that the U.S. healthcare system would save $64 billion if cannabis is fully integrated into the healthcare system and urges educating doctors on the endocannabinoid system.
And it makes a direct appeal to the president.
“You will deliver the most important senior health initiative of the century, cementing your legacy and transforming aging care,” the video says, addressing Trump.
“Millions everywhere will thank you.”
The video was produced by The Commonwealth Project, a Massachusetts-based medical marijuana advocacy organization backed by billionaire Howard Kessler.
Kessler lives in Palm Beach, Florida, where he is reportedly a member of Trump’s Mar-a-Lago Club.
Notably, The Commonwealth Project was one of the organizations set to participate in historic hearings about relaxing marijuana’s status under federal law.
Those hearings, and the process begun by former President Joe Biden to relax cannabis’ status under federal law, have been on indefinite hiatus since January.
But exactly what the video might portend for marijuana rescheduling is unclear.
In mid-August, Trump teased the $32 billion cannabis industry by indicating he’d make a decision on whether to reclassify marijuana as a Schedule 3 drug within “a few weeks.”
There’s been no movement since.
Has Donald Trump decided to reschedule marijuana?
Nevertheless, cannabis industry insiders said Trump’s post is a signal that cannabis reform is maturing.
“President Trump’s amplification of a video praising the medical benefits of cannabis for seniors, particularly the potential inclusion of CBD in Medicare coverage, is a significant signal of how far this conversation has progressed,” said Anthony Coniglio, CEO of real-estate investment trust (REIT) NewLake Capital Partners.
“For too long, the federal government has maintained impediments to these plant-based therapies.”
FundCanna CEO Adam Stettner said the post reflects a shift in thinking from the White House that most Americans already support.
“President Trump doesn’t ‘trial balloon’ ideas lightly,” Stettner said in a statement. “If he’s posting this now, it’s likely a preview of a decision already made or soon to come.”
Although the post is a step in the right direction, it’s not enough, Stettner said.
“We need a full federal framework that upholds public safety, protects compliant businesses and ends the structural penalties legal operators still face every day,” he said.
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The latest in moving cannabis to Schedule 3 of the Controlled Substances Act
Marijuana is still classified as a Schedule 1 substance under the Controlled Substances Act, indicating it is considered to have a high potential for abuse and no currently accepted medical use.
Former President Joe Biden previously directed the Department of Health and Human Services to review marijuana’s classification.
In August 2023, the agency released findings, based in part on data from states with legal medical marijuana, that cannabis has a “currently accepted medical use” (CAMU) in the United States.
But a later Justice Department proposal to reclassify cannabis as a Schedule 3 substance, which is designated for drugs with a moderate to low potential for dependence, remains in limbo.
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