On Friday, June 28, 2024, Cannabis stocks were pounded by two different adverse events.

Biden's disastrous performance in the first debate raised fears of a new Trump administration and the actions that he could take affecting cannabis. We view this as essentially a non-event. S3 is moving down the pike on auto-pilot without any active management from the president. We also doubt that Trump, if elected, would choose to interfere with the rights of States to run their cannabis industries.

The market was likely influenced more strongly by an IRS filing IR-2024-177 on June 28, which said:

Until a final federal...