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Cannabis rescheduling delayed again

The anticipated reform of federal marijuana policy has hit a significant snag, as the Drug Enforcement Administration announced a public hearing on the proposed rescheduling of cannabis. The hearing, set for December 2, 2024, effectively delays any final decision on the matter until after the upcoming November election, creating uncertainty around the timeline and the future of marijuana regulation in the United States.

The momentum for rescheduling marijuana began earlier this year when the U.S. Department of Justice proposed moving cannabis from a Schedule I to a Schedule III controlled substance under the Controlled Substances Act. This move, if finalized, would mark a dramatic shift in federal drug policy, as marijuana has been classified as a Schedule I drug—indicating high potential for abuse and no accepted medical use—since 1970.

You can read more on the matter here.

What’s going on?

• Did Meta Just Admit to Censoring Americans? (theDeepDive)

• US Home-Price Gains Outpace Inflation With 5.4% Annual Increase (Bloomberg)

• US Urges Canada to Increase NATO Military Spending ‘As Rapidly As Humanly Possible’ (theDeepDive)

• Klarna aims to halve workforce with AI-driven gains (FT)

• Government Eyes Changes to Foreign Worker Program as Unemployment Soars (theDeepDive)

• Riskiest SpaceX mission to date delayed after helium leak (CBC)

• DOJ Sues Georgia Tech Over Alleged Cybersecurity Violations in Defense Contracts (theDeepDive)

• After weeks of peace talks, no end in sight for devastating wars in Sudan and Congo (Globe)

• Consumer debt hits $2.5 trillion in second quarter, with credit card debt at its highest level in 17 years (TS)

• German Discount Grocer Becomes An Accidental Regional Tech Giant (theDeepDive)

• Macron Nears Deal to Sell French Fighter Jets on Serbia Visit (Bloomberg)

• Russian Outrage Over Telegram Founder Pavel Durov’s Arrest (theDeepDive)

What’s the latest?

• Panama Canal: The Panama Canal is easing restrictions previously placed due to a severe drought, as recent rainfall improves water levels significantly. The canal's administrator, Ricaurte Vasquez, announced that the draft limit has been raised to 50 feet, allowing up to 36 vessels to transit daily—up from the 24 during the drought's peak. This move is expected to gradually restore the canal's capacity, which is vital for global maritime trade.

• BMO Earnings: Bank of Montreal's fiscal Q3 earnings were affected by higher than expected provisions for credit losses, totaling $906 million, which surpassed the analyst forecast of $745 million. This resulted in an adjusted profit of $2.64 per share, missing the expected $2.75 per share. The increased provisions contributed to a notable drop in the bank’s stock, which fell by up to 6.4% in early trading.

• 7/11 & Circle-K: Seven & i Holdings Co., the Japanese operator of 7-Eleven stores, is taking steps to increase oversight of its share purchases by seeking to be designated as a "core" company under Japan's Foreign Exchange and Foreign Trade Act. This move comes in response to a buyout proposal from Alimentation Couche-Tard Inc., and would require any entity looking to acquire more than 10% of the company to receive prior approval from Japan’s Ministry of Finance.

• US Housing: The latest data from S&P indicates a slowdown in U.S. home-price gains in June, with a year-over-year increase of 5.4%, down from 5.9% in May. This deceleration is occurring as the supply of listings begins to rise, yet high mortgage rates, hovering around 7%, continue to dampen buyer activity. The report also notes that home prices are still performing above trend when adjusted for inflation.

• Student Struggles: A TD Bank survey highlights significant financial challenges faced by Canadian post-secondary students, with 45% reporting they cannot cover basic needs like food and housing. Additionally, 65% of students consider themselves financially unstable. Despite efforts to manage finances, as 64% have a budget, only 41% can adhere to it consistently. Parents play a crucial role in their financial support, with 94% assisting their children financially and 58% providing substantial support.

Nations Royalty: A first of it's kind

The stock market and stuff

• BHP Group’s Annual Profit Plummets 39% On One-Off Charges, Cuts Dividend (theDeepDive)

• Tech Stocks Climb as Nvidia to Test 1,000% Surge (Bloomberg)

• DOJ Sues Software Company RealPage Over Alleged Rent-Fixing Scheme (theDeepDive)

• BMO misses as higher loan-loss provisions dent U.S. operations (BNN)

In the juniors

• Silver Tiger Metals Intersects 0.55 g/t Gold Over 126.6 Metres At El Tigre (theDeepDive)

• NFL expected to vote in favor of private equity ownership; select firms to commit $12 billion (CNBC)

• Benton Resources Hits 1.23% Copper Over 22.8 Metres At Great Burnt (theDeepDive)

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