Short Sellers Wind Down Pot Stock Bets as US Congress Mulls Action - Bloomberg

2022-07-18 20:37:51 By : Ms. Jocelyn Luo

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Cannabis short sellers are ratcheting down their bets that the beleaguered sector will continue its slide.

Short interest in pot stocks has tumbled to $632 million from $3.14 billion in May 2021, even as share prices plunged in the past year, according to data from S3 Partners. While analysts are skeptical that the federal government will approve a legal weed market soon, Congress is set to consider some cannabis legislation, which could lead to a rally in the sector.