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Pot stocks get high(er) after reports of timeline for legalization

Click to play video 'Canada to legalize pot by July 1, 2018: report' Canada to legalize pot by July 1, 2018: report
WATCH: The Liberal government is set to announce legislation next month that would legalize recreational pot by July 1, 2018 – Mar 27, 2017

Cannabis companies saw a jump in their stock prices Monday after reports that the Liberal government was planning to announce legislation for legalizing marijuana within a month.

The legislation will reportedly legalize weed by July 1, 2018.

In a statement to Global News, Justice Minister Jody Wilson-Raybould confirmed the legislation would be introduced in the “spring” but no timetable was given.

READ MORE: Why are people being arrested for pot if the Trudeau government is looking to legalize it?

Despite the uncertainty of the dates, shares of major medical marijuana companies rose in the TSX.

Shares of Canopy Growth Corp. (TSX:WEED) were up 10.12 per cent, or $1.00, to $10.88 per share in late morning trading on the Toronto Stock Exchange.

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Aphria (TSX:APH) was up 5.81 per cent, or 36 cents, to $6.56 per share. Aurora Cannabis (TSXV:ACB) was up 10.09 per cent, or 23 cents, to $2.51. And Emerald Health Therapeutics grew 10 cents, or 8.47 per cent per share to $1.28.

READ MORE: Cannabis companies’ stock prices rise after federal report

The spike in shares during legislation is a continuing trend as cannabis becomes legal throughout North America. When the Liberals released a report in December 2016 on how pot should be regulated, all four companies mentioned also grew between six to 12 per cent as well.

Brendan Kennedy, president of medical marijuana company Tilray, told Global News then that the spike started after November’s U.S. election, when multiple states voted in either medical marijuana laws or recreational marijuana laws.

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— With files from Adam Frisk and The Canadian Press