Tuesday, January 30, 2018

Canada Risks Popping Marijuana Bubble As Prices Dive Before Legalization | Zero Hedge

Canada Risks Popping Marijuana Bubble As Prices Dive Before Legalization | Zero Hedge
"A recent Statistics Canada report confirms price deflation has hit the marijuana industry in an even more significant way than expected, as a downward slide in prices puts a squeeze on profits for producers in the soon-to-be-legal market.
According to data published last Thursday by Statistics Canada, the annual change in the average cost per gram declined 7.7 percent in 2017 verse the prior year, this is the most significant decline in more than a decade, as the Trudeau administration prepares for legalization as soon as July.
Bloomberg believes the decline in prices is not a force of demand, but more on the oversupplied side..."
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