Marijuana stocks are surging after Canada legalizes the drug
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Jeremy Berke
Jun 20, 2018, 20:40 IST
REUTERS/Andres Stapff
Marijuana stocks are surging after Canada becomes the first G7 country to legalize it.
Marijuana stocks are surging after Canada became the second country in the world to legalize the drug.
The Canadian Marijuana Index was up 3.34% as of 10:45 a.m.
Marijuana stocks surged Wednesday morning after Canada legalized the drug.
The Canadian Marijuana Index, an aggregate measurement of allpublicly-listed marijuana stocksin Canada, was up 3.34% as of 10:45 a.m. on Wednesday. The overallNorth American index,which includes US stocks, was up 2.28%.
Golden Leaf Holdings, a Canadian Securities Exchange-listed cannabis company, was the biggest gainer with the stock surging 6.81%.
Overall, legalized marijuana is expected to be a boon for Canada's economy. CIBC, one of the country's largest banks,predictsCanada's legalmarijuanamarket will be a $6.5 billion industry by 2020.
A number of Canadian marijuana firms, includingAurora CannabisandCanopy Growth Corpare seeing a wave of investor excitement around marijuana legalization. Marijuana companies are capitalizing on all that liquidity to go on acquisition sprees.
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