Global equities are in rally mode. Is it because of the dovish comments from the Fed? Or could it be a little year end holiday cheer? Let’s see where we go for the last eight trading days of the year. The S&P 500 surged higher by 2.39% to 2,061.
Cannabis stocks showed some renewed interest today as volumes ticked up. Performance in the sector varied today with MJIC Marijuana Index declining 0.84% and Benzinga 420 Marijuana Index rising 2.86%.
Daily Positive: Some companies who spoke on today’s Cannabis Investor Webcast were able to show how they are delivering on their word. American Cannabis Company (OTCQB: AMMJ) is a good example of a company in the public sector that continues to execute its business plan.
Daily Negative: See notes below in our pump and dump alert.
Pump & Dump Alert
Pump alert: The same social media group is back at it today. This time, they are pumping another PINK sheet stock, Totally Hemp Crazy Inc. (OTCPink: THCZ). Yes, that is actually the name of the company. The stock has rallied greater than 75% off their efforts. For comparison purposes, look at the performance of their last pump, NWPN.
Dump alert: Nhale (OTCBB: NHLE) has been discussed several times here as a pump and dump alert. Sadly, investors that bought into those press releases have severely impaired that capital. Below is a chart for the last 30 days:
Some journalists who try to write about this space are so uninformed, it can be pretty upsetting. We certainly have expressed a lot of caution in this space, but we see opportunity. We have been working in this space and have a better understanding of the companies and know the potential of the market. The attention the space gets from the media is appreciated, when it is well-researched. However, we are also frustrated by broad strokes and the same names being mentioned without proper due diligence. If writers took the time required to truly review the space, they would have to retract many of their statements.
This is not to say that cannabis isn’t a challenged public market, but it does deserve some patience. People were probably saying the same things in the early tech era, but look at it now.