Shares of North American cannabis producers dropped yesterday after the Trump administration suggested a crackdown on recreational marijuana could be expected.
A majority of Canada’s publicly traded LPs dipped after White House Press Secretary Sean Spicer said on Thursday that the Justice Department will be looking more closely at the issue, saying “there is a big difference” between medical and recreational use.
Shares of Ontario-based Canopy Growth Corp, which bills itself as the world’s largest cannabis company and trades as “WEED” on the Toronto Stock Exchange, dropped 4.64 per cent on open Friday.
Canopy became the country’s first cannabis “unicorn” in 2016, with a market value of $1 billion or more, after voters in four U.S. states voted to legalize recreational use.
More than 20 % of U.S. residents live in a state where recreational use is now legal.