Cannabis stocks could see higher highs.

“Marijuana should be rescheduled as a Schedule III drug as the plant does appear to have medical uses and is less dangerous than other drugs, according to a just made public HHS document,” as noted by Seeking Alpha. “Addressing a 252-page review, HHS Assistant Secretary for Health Rachel Levine wrote that based on evaluations from FDA scientists, cannabis should become a Schedule III substance.”

As a result of that news, several cannabis stocks are being bid higher, including Curaleaf Holdings (CURLF – up 7%), Green Thumb Industries (GTBIF- up about 11%), and Trulieve Cannabis (TCNNF – up 9%) on the news.

In addition, according to CNN, “Rescheduling marijuana could open up more avenues for research, allow cannabis businesses to bank more freely and openly, and have firms no longer subject to a 40-year-old tax code that disallows credits and deductions from income generated by sales of Schedule I and II substances.”

Now, as we near the 2024 U.S. presidential election, there’s speculation we could see further action on legalization efforts.