Will the Federal Reserve Sink Cannabis Stocks, Or Will It Make Smart Investors Richer?
With the regulators at the Federal Reserve opting to try to control high inflation by making it more expensive for companies to borrow money for the better part of a year now, it's a hard time to be a growth investor. Uncertainty surrounding the Fed's interest rate hikes is hitting the market like a truck, making the rapidly expanding businesses of yesteryear into the bugbears of portfolios today.
Cannabis stocks are among the harder hit -- but it isn't as though the industry was in top shape before inflation reared its head either. Many players were and are unprofitable, and quarter after quarter of revenue growth is no longer a sure thing.
With that backdrop in mind, is now a good time to be buying marijuana companies with the hopes of a rally down the line, or is the Federal Reserve going to ensure that investors will lose their shirts? Let's investigate.
Source Fool.com
