Overview
- President Trump said at a White House press conference that his administration is formally reviewing a move to shift federal cannabis from Schedule I to Schedule III.
- The review follows reporting by The Wall Street Journal and leverages a DEA recommendation made during the last year of the Biden administration.
- Cannabis stocks and sector-focused ETFs surged by double-digit percentages on news of the possible rescheduling.
- Moving marijuana to Schedule III would broaden federal research access and could provide significant tax and regulatory relief for the cannabis industry.
- Separate reporting of a secret U.S. military directive against Mexican cartels and Mexico’s refusal to host American troops highlights growing bilateral security strains.