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Tilray Brands (TLRY) stock closed down 4.2% on December 18, 2025, after an executive order reclassified cannabis to a Schedule III drug, triggering a 'sell the news' event.
Energy drink maker Celsius saw its stock fall 28.8% despite reporting a 173% year-over-year revenue increase in its Q3 earnings, reflecting broader investor skepticism in the beverage sector.
Leveraged ETFs, particularly those focused on the cannabis and space industries, saw significant gains driven by sector-specific speculative news. Reports of potential U.S. federal marijuana reclassification and key operational milestones for Rocket Lab fueled investor optimism in these high-growth, high-risk sectors.
The NYSE Health Care Index posted a marginal gain of 0.2% as a rally in cannabis-related stocks, fueled by potential U.S. policy shifts, offset significant negative news from traditional healthcare providers. Ardent Health, Inc. faces a securities investigation after revealing substantial financial adjustments.
Reports that the Trump administration plans to reclassify marijuana to a less-restrictive category triggered a significant rally in cannabis-related stocks. This policy shift, while not full legalization, could fundamentally alter the financial landscape for the industry by easing tax burdens and potentially opening access to mainstream banking services.
The energy sector posted modest premarket gains, led by ETFs like the Energy Select Sector SPDR. However, this stability contrasts sharply with significant volatility in other market segments, where individual company news and strategic failures are driving major price swings.
U.S. markets fell, led by a sharp decline in technology stocks after Broadcom's warning on profit margins sparked fears of an AI bubble. In a divergent trend, cannabis stocks experienced a significant rally following reports of potential federal reclassification by the U.S. government.