Would a DEA Rescheduling be Bullish for Marijuana Stocks?

Back in April, the U.S. Drug Enforcement Administration announced it would be reviewing the possibility of changing the federal classification of marijuana from Schedule 1 to Schedule 2.

Marijuana is currently listed among the DEA’s Schedule 1 drugs, which it describes as “most dangerous” and having “a high potential for abuse.” Other Schedule 1 drugs include heroin and LSD.

Schedule 2 drugs include legal prescription drugs like Ritalin and Adderal.

A re-scheduling of marijuana would clear the regulatory path for medical marijuana research and could be another step toward federal marijuana legalization.

Last week, the Santa Monica Observer reported the DEA will be making marijuana a Schedule 2 drug on August 1. The report cited an anonymous DEA lawyer with knowledge on the matter.

However, soon afterward, that report was refuted, and the DEA stated that the article was in error.

Industry experts say the potential DEA ruling likely doesn’t do much beyond encouraging more research into cannabis risks and benefits, and make it perhaps easier for universities to get involved and for commercial entities to raise capital. This could have a bullish affect on companies involved with CBD, or ancillary to that, such as Vaping, Capsules, Packaging, Processing, Testing, and Manufacturing.