The US Department of Health and Human Services (HHS) has recommended the reclassification of marijuana, marking a significant shift in the country’s stance on the drug. The HHS provided its scheduling recommendation to the Drug Enforcement Agency (DEA) as part of President Biden’s directive to review marijuana’s status. Currently classified as a schedule I drug under the Controlled Substances Act, marijuana could be moved to a lower-risk category, alongside substances like ketamine and testosterone.

The move toward reclassification aligns with the changing landscape of marijuana legalization in the US. Nearly 40 states have legalized marijuana use in some form, reflecting the will of the majority of Americans who support such measures. While reclassification would not automatically legalize marijuana federally, it would be a significant step in that direction.

The potential implications of this decision are far-reaching. If marijuana is reclassified, it could pave the way for wider legalization efforts, potentially allowing major stock exchanges to list cannabis-related businesses. Furthermore, it might open doors for foreign companies to enter the US market with their cannabis products.

The move received positive responses from various sectors, including cannabis companies and investors. Shares of several cannabis firms saw increases following the news, highlighting the industry’s interest in a potential shift in federal marijuana policy.

Reclassification would mark a substantial shift in US drug policy and reflect evolving attitudes toward marijuana’s medical and recreational use. However, it’s important to note that the DEA has the final authority to schedule or reschedule a drug, and their review process will play a crucial role in determining the drug’s future classification.