The page you are looking for is temporarily unavailable.
Please try again later

Money Could the marijuana bubble burst in 2018?

18:30  04 june  2018
18:30  04 june  2018 Source:

Global dread of rising rates makes stark choice for central bankers: Don Pittis

  Global dread of rising rates makes stark choice for central bankers: Don Pittis Hike interest rates now or delay? The severity of the impact of rising rates makes for an onerous choice for the world's central bankers. Heavily indebted Canadian homeowners will once again be able to breathe a sigh of relief when the central bank announces its rate decision Wednesday. Even those in Canada's real estate industry, who claim everything is fine, will send up a quiet cheer.

Related video: Legalized cannabis could have surprising effects on Canadian real estate [Provided by Huffington Post Canada]

Quotes in the article Inc


Liberals raise Doug Ford drug allegations in campaign ads

  Liberals raise Doug Ford drug allegations in campaign ads Trailing in the polls with less than a week until the June 7 election, the Liberals have dropped the H-bomb — as in hash — on Doug Ford.Using digital media ads in Punjabi, Chinese and Urdu, Kathleen Wynne’s party is drawing attention to a 2013 Globe and Mail story in which 10 anonymous sources alleged the Progressive Conservative leader was a hashish dealer in Etobicoke in the 1980s.Ford has vigorously denied the accusation as “an outright lie” and threatened to sue the newspaper, but never did. The Star has not verified the allegations, and the issue had not surfaced in the campaign until now.

S&P/TSX Composite


S&P/TSX Venture Composite


S&P TSX 60



Like it or not, pot stocks aren’t investments right now. They’re a speculation that some pundits would take a step further by claiming that the industry is in a bubble that may be on the verge of popping. Over the last few years, we’ve seen several many booms and busts. Deep corrections that are usually dwarfed by massive rallies that made speculators very rich over a very short period.

If you’ve doubled, tripled, quadrupled or even quintupled up over the course of a few months, it’s a pretty wise decision to at least take your original principal off the table so that if marijuana is, in fact, a bubble, you won’t end up losing your shirt when all is said and done.

Canadian man charged with smuggling pot into U.S. in hockey bags

  Canadian man charged with smuggling pot into U.S. in hockey bags Authorities say a 77-year-old Canadian man has been arrested for trying to smuggle marijuana across the Canada-U.S. border in hockey bags in the trunk of his car. U.S. federal prosecutors said Friday that the man was arrested on May 21 as he tried to enter the U.S. at the Peace Bridge connecting Buffalo, N.Y., to Fort Erie, Ont. They say he told a customs officer he was coming to the U.S. to shop but could not say where. Authorities say the officer inspected the man's trunk and found 47 kilograms of marijuana inside two hockey bags and the spare tire cavity.

Unfortunately, greed and euphoria drive many smart investors to double-down on their holdings after they’ve already made a fortune.

Sir Isaac Newton, a genius by anybody’s standards, spiralled into financial ruin by upping his bet in the “marijuana stock” of his day, the South Sea bubble. Of course, he took his profits after he made a great deal, but the continued rise in shares after he initially sold made brought out his FOMO (fear of missing out) mentality. It’s human psychology and at the time, nobody really knew that the bubble would ever pop the way it did.

The current state of the marijuana industry certainly draws some comparisons to the South Sea bubble when it was in the new paradigm phase. The “opportunity of a lifetime” has become mainstream and many speculators in the general public have already placed their bets without a care of the prices they’re paying.

Making money off pot stocks just got a whole lot harder

Tom Brady has been throwing at Gillette Stadium, report says

  Tom Brady has been throwing at Gillette Stadium, report says Tom Brady has been throwing at Gillette Stadium, report saysThe Patriots quarterback has been throwing passes to wide receiver Julian Edelman in the practice bubble at Foxborough on a "semi-regular basis," according to Michael Giardi of NBC Sports.

As we inch closer to legalization day, there’s no question that stakes have been raised, but whether the sky-high expectations can be reached in a post-legalization environment remains to be seen. Although pot stocks have corrected yet again this year, another triple-up rally is not guaranteed, especially since nobody can properly see past the haze of marijuana smoke that lies ahead. Forget about where pot stocks will be in a year from now, it’s nearly impossible to predict where they’ll be tomorrow with the off-the-charts volatility that’s become the norm.

Analyst projections for individual pot firms are all across the board. You’re essentially throwing darts and yes, some analysts will hit the bull’s eye, but a majority of them will likely fail to hit the board! As such, I’d encourage long-term investors to avoid marijuana stocks until after a potentially catastrophic collapse that may be triggered by unforeseen consequences that could derail the investment thesis entirely along with the opportunity from nationwide legalization.

Social sharing of pot not consequence-free: Senate

  Social sharing of pot not consequence-free: Senate Social sharing of pot not consequence-free: SenateSenators voted 42-31 to approve an amendment to Bill C-45 that would make it a summary or ticketing offence for a young adult to share five grams or less of cannabis with a minor who is no more than two years younger; it would be an indictable offence to share with younger minors or to share more than five grams.

If you’re willing to speculate on pot stocks within your mad money portfolio (money you’re willing to part with), I’d stick with Canopy Growth Corp. (CGC), as the company has not been reckless when it comes to aggressive M&A activities at a time when valuations are off the charts. Canopy CEO Bruce Linton slammed the recent acquisition activities conducted by industry peers by stating they’re “paying a dollar to buy a dime.” At sky-high valuations, Canopy’s sit-and-wait approach definitely leads me to believe that its stock has less downside versus peers that have been active on the M&A front recently.

Although Canopy appears to be a more calculated firm that’s not rushing to pull the trigger on deals while severely diluting shareholders in the process, no pot stocks will be a safe place to hide should the broader industry collapse. Will it happen in 2018? Nobody knows, but if the thought makes you sick to your stomach, then maybe it’s time to avoid pot stocks altogether and only bet what you can afford to lose.

Thus, I’d tread carefully if you’re thinking about placing a bet on pot stocks since nothing but perfection will be expected once the first round of post-legalization quarters are released.

Related gallery: How much money states make from marijuana (provided by GoBankingRates)

Lenny Dykstra arrest: 'Take me to Staten Island or I'll blow your (expletive) head off'

  Lenny Dykstra arrest: 'Take me to Staten Island or I'll blow your (expletive) head off' Lenny Dykstra had cocaine, MDMA and marijuana when arrested after allegedly threatening Uber driver's life, per police report. No gun was found.Dykstra, 55, was arrested outside Linden Police Headquarters just before 3:30 a.m. on May 23 when police officers were alerted to a vehicle that sped into the attached parking garage.

a close up of a reptile: With many of the nation's archaic views surrounding cannabis going up in smoke, a new wave of financial infrastructure has swept the American landscape.Click through to read about one of the fastest-growing industries to invest in for 2018. How much money states make from marijuana

Sponsored: Canada's answer to

You’ve probably never even heard of this up-and-coming e-commerce powerhouse headquartered in Eastern Ontario. But despite coming public just last year, it’s already helping the likes of Budweiser, Tesla, Subway and Red Bull move $9.9 billion (and counting) worth of goods online each year. And now it’s caught the eye of the legendary investor who got behind in 1997 — just before it shot up more than 23,000% and made investors lrich beyond their wildest dreams. Click here to discover why this investor says it’s time to buy.

Canada's Senate votes to legalize recreational marijuana .
Canada's Senate on Thursday voted to legalize recreational marijuana, clearing a major hurdle that puts the country on track to become the first Group of Seven nation to permit national use of the drug. The upper chamber Senate voted 56-30 in favor of the legislation but included amendments that the House of Commons will need to decide on before the law can be passed.While there is not yet a definite date for when marijuana will be available for sale, the Senate was one of the last significant obstacles standing in the way of legalization as a number of Conservative senators oppose the bill.

—   Share news in the SOC. Networks

Topical videos:

This is interesting!