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Stocks slump ahead of the close, cannabis stocks jump on President Biden's marijuana pardons

Most stocks slumped heading into the close aside from the cannabis sector, which surged on news of President Biden pardoning all prior federal offenses for simple marijuana possession.

Video transcript

DAVE BRIGGS: All right, just a couple of minutes to the closing bell. Let's bring in Jared Baker with a chance to check out these markets as they are a little red on the board, eh, Jared?

JARED BLIKRE: A little red on the board, but we're going to redeem ourselves here with an interesting look at the cannabis sector. But first, we do have markets under pressure, Dow down over 1%. So is the S&P 500. The NASDAQ down 3/4 of a percent. And the Russell 2000, a little bit less than that.

Let's skip straight to the action. This is the cannabis heatmap that we have working here. We can see a number of issues, up over 30%. A lot of these Canadian issues, but also Tilray, the American ADR is traded at almost 30% right now. CDC, Canopy up 20%, and this is after Biden proposes to decriminalize-- not decriminalize-- basically, it's a Get Out of Jail free card for anybody who's been arrested for possession. Hope that goes through and the states take it up as well.

Besides that, we are seeing a lackluster day in the stock action. Energy in the forefront. We see crude oil topping $88 per barrel. To the downside, utilities, real estate extending their losses, both of those off more than 3%. Pretty defensive sectors, so not really getting too worried about that. But we will take a look at the travel sector as we head into the closing bell.