U.S. investors showed that they were mostly unconcerned with the looming possibility of a government shutdown, as American cannabis stocks helped the Marijuana Index stay balanced on Thursday. Meanwhile, Canadian cannabis stocks continued to suffer from what is becoming an extended period of volatility in the sector. Cannabis companies north of the border kept the Index from gaining any significant ground on Thursday, as it closed at 170.75, earning a meager .22 by the end of trading. Share volume on the Index was over 687 million.
United States Index
Both the Nasdaq and the S&P 500 were up Friday, an especially significant feat after four straight days of losses. These gains were a slight boon to the United States Marijuana Index. The Index closed at 62.62 on Thursday, up 1.71 percent on a day where investors decided not to worry about Friday night’s deadline for a possible government shutdown – something that appears to be the new normal in politics. Still, cannabis stocks in the U.S. are a far cry from their Canadian counterparts as uncertainty persists over the Department of Justice’s marijuana policy. Currently, the United States Marijuana Index has a market cap of $5.01 billion.
Thursday’s big day on the TSX, a gain of 106.9 points, had no impact on cannabis stocks as the Canadian Marijuana Index dropped 1.87 points to close at 436.87. A week of big news in the sector, including Aphria’s Shoppers Drug Mart Deal and CanniMed’s PharmaChoice deal did nothing to stem the tide of a volatile week on the Index. Investors would be wise to remember that it is still an Index on the rise, having gained over 50 percent in the past month. The current market cap on the Index is $14.01 billion, with a share volume of over 952 million.
Winners and Losers
Friday Night Inc. (CSE:TGIF) (OTC:TGIFF) saw significant gains in trading today as the company’s shares rose 5.12 percent to $0.3631 per share on higher than average trading. After a recent proposed offering of $225 million of American Depositary Shares which represent ordinary shares of GW Pharmaceuticals Plc. (NASDAQ:GWPH) on the NASDAQ, the company had higher than average trade volume today. At the close of trading GW Pharma was up 7.73 percent at $124.97 per share. Insys Therapeutics Inc. (NASDAQ:INSY) also had a good day on Thursday, gaining 11.83 percent to close at $5.86 a share.
Meanwhile, Aurora Cannabis Inc. (TSX:ACB) (OTC:ACBFF), who recently announced they were taking a more considerable investment in Radient Technologies, lost 4.94 percent today, closing at $5.20 per share. Future Farm Technologies Inc. (CSE:FFT) (OTC:FFRMF) closed Thursday at $0.3886 per share, a loss of 8.56 percent. Also in the red was Marrone Bio Innovations, Inc.(NASDAQ:MBII) who lost 6.75 percent today on higher than expected trading volume. The company closed out the day at $0.8998 per share.