January 2025

Israel is considering limiting humanitarian aid to Gaza after Donald Trump comes into office later this month in a bid to deprive Hamas of resources, according to an Israeli official familiar with the matter.

Since October 7, Israel has been waging war in Gaza trying to dismantle Hamas militarily, but says the militants retain governing capacity through seizing aid. Such a move risks exacerbating an already dire humanitarian situation.

“The humanitarian aid is not reaching the right hands,” the official said, who added it was one of “several” options currently being considered.

Relief organizations have consistently called for an increase in the amount of humanitarian aid allowed into the besieged strip, warning for months of the rising risk of famine for civilians.

The United Nations Office for the Coordination of Humanitarian Affairs (OCHA) said in an update on Tuesday that only 2,205 aid trucks had entered Gaza in the month of December, excluding commercial vehicles and fuel.

Israel disputed that number, saying there is no limit on the amount of aid that can enter Gaza and that over 5,000 trucks had entered over the course of the month, according to a statement from the Coordination of Government Activities in the Territories (COGAT), which manages the flow of aid into the strip.

UN officials say the number of trucks entering Gaza before the war was approximately 500 per day, or 15,000 per month.

An estimated 91% of the territory’s 2.1 million residents are facing high levels of acute food insecurity, according to OCHA.

In October, less than a month before the US presidential election, the Biden administration sent a letter to the Israeli government demanding it act to improve the humanitarian situation in Gaza within 30 days or risk violating US laws governing foreign military assistance, suggesting US military aid could be in jeopardy.

The list of demands included allowing at least 350 trucks a day to enter Gaza while implementing combat pauses to enhance the flow and security for humanitarian convoys and movements.

A week after Trump won the election and the deadline expired, the Biden administration assessed that Israel was not blocking aid, despite key demands contained within the letter remaining unmet.

The State Department said that while changes were needed, progress had been made – so there would be no disruption to US arms supplies.

This post appeared first on cnn.com

Sweden allows nearly 10% of wolf population to be killed. The government wants an even more drastic cull

Sweden began its annual wolf hunt this week, allowing nearly 10% of the endangered species population to be killed, as conservationists raise concerns about the controversial policy.

Since 2010, Sweden has allowed wolves to be hunted on a licensed quota basis. Conservationists say this goes against European Union law and have filed complaints with the EU Commission, which has previously said it is assessing Sweden’s compliance.

Hunted to the point of extinction by the 1970s, wolves have gradually returned to the northern European country, aided by EU conservation legislation.

But now the government is allowing 30 of the estimated 375 animals there to be culled, citing safety concerns for rural dwellers and livestock owners.

It’s part of the government’s effort to drastically reduce the overall number of wolves in the country – from a previous minimum population of 300 to a new minimum of 170. This minimum number, under Sweden’s Environmental Protection Agency, is referred to as a “favorable reference value.”

This is despite the wolf’s status as “highly threatened” on The Swedish Red List, which monitors the extinction risk of species in the Nordic country.

Conservationists were further alarmed last month when the Council of Europe’s Bern Convention committee, which includes 49 countries and the European Union, voted in favor of an EU proposal to lower the protection status of wolves from “strictly protected” to “protected.” The convention was originally established to protect species and habitats.

“Strictly protected” status meant wolves could not be deliberately killed or captured, but with the downgrading, the Council of Europe says member states will now have “additional flexibility” when managing their local wolf populations.

The World Wide Fund for Nature (WWF) responded to the decision, calling the EU’s move to weaken wolf protections “a serious misstep, devoid of any solid scientific foundation.”

Conservationists are concerned that if wolf numbers decline there will be an even greater likelihood of genetic problems within the population.

He accused the Swedish government of having “an anti-wildlife sentiment,” saying it had “a much more aggressive anti-carnivore policy” than previous governments.

But some conservationists think the wolves are being used as a political bargaining chip.

Just 3% of the Swedish population are hunters, according to Widstrand, who says those 300,000 people are “crucially important” to the country’s two main political blocs, who are often neck and neck in the polls.

“The hunting organizations have the ears of the politicians,” said Magnus Orrebrant, Chair of the Swedish Carnivore Association (SCA), which advocates for the coexistence of people and carniverous animals, like wolves and bears.

Wolves in Europe

Anti-wolf sentiment is growing elsewhere in Europe too.

A pony belonging to European Commission President Ursula von der Leyen’s was killed by a wolf in 2022. She made a statement in 2023 saying that “the concentration of wolf packs in some European regions has become a real danger for livestock and potentially also for humans,” which prompted several wildlife and conservation charities, including the WWF, to issue a response, calling her words “misleading” and “not based on science.”

Von der Leyen welcomed the news last month that the Bern Convention committee had decided to adjust the protection status of wolves, calling it “important news for our rural communities and farmers… because we need a balanced approach between the preservation of wildlife and the protection of our livelihoods.”

It’s true that the wolf population in Europe has increased over recent years. Wild Wonders’ Widstrand calls it “a major, fantastic comeback conservation story.”

There are approximately 1,500 wolves in Germany and 3,300 in Italy, according to conservation reports. Widstrand notes there are even 120 wolves in Belgium. “These countries are vastly smaller than Sweden and more densely populated,” he pointed out.

Yet rural affairs minister Kullgren says wolves are affecting Swedish society “more significantly than before.”

Kullgren said there were “parents who are afraid of letting their children play in their backyard, farmers who are afraid to let the animals out to graze due to the risk of wolf attacks and dog owners who are afraid that their beloved pets might get attacked while walking on forest paths.”

“The government is very much adding fuel to the polarized debate,” she added.

Orrebrant, chair of the SCA, said that if the EU follows the Bern Convention committee’s decision, which comes into effect on March 7, and decides to downgrade the wolf’s protection status, “that will allow countries like Germany, Italy or Spain to hunt in the same way that Sweden does.”

In parts of northern Europe, self-sufficiency has become increasingly important against the backdrop of Russia’s war against Ukraine.

Sweden officially joined NATO last year and just a few months later it joined Norway in distributing booklets to millions of households with guidance on how residents could sustain themselves in the event of war, including details on how to grow food at home.

For livestock farmers involved in food production, this national agenda is further encouragement to lower Sweden’s population of large carnivores.

He believes the licensed wolf hunt is a necessary additional measure in the protection of livestock, adding that it is expensive for smaller farmers to install special, predator-proof fencing.

But Rindevall said that sheep are often used in the argument for wolf culling, even though she says only a tiny fraction of Swedish sheep are killed by wolves.

She is concerned about the message it sends to other countries, that a highly resourced country like Sweden is taking what she considers to be a regressive stance on conservation.

“How can we ask other countries to preserve animals like tigers, lions and elephants when we can’t seem to co-exist with wolves?”

This post appeared first on cnn.com

Economy

Stock Futures Lower after S&P 500 futures ticked down 0.18%

Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.

November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.

As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.

S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.

S&P 500 Index Chart Analysis

This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.

On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.

The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.

In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.

The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.

Economy

S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7%

Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.

Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.

This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.

However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.

S&P 500 Index Chart Analysis

Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:

The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.

Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.

The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.

In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.

The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.

Stock

Swing Trading with Point & Figure

There are a number of effective swing trading systems being used today. Let’s explore one that is popular among Wyckoffians. It uses two inputs: Point and Figure charts and volume. Let’s review this system with a case study of Charles Schwab Corp. (SCHW).

As markets are fractal, Accumulation and Distribution structures form in daily, weekly and monthly timeframes. Swing trading structures typically form on daily charts that can be identified with 1-box Point & Figure charts and daily vertical bar charts.

Charles Schwab Corp. forms a Swing Trading Accumulation structure between July and October. In July climactic selling (SC) volume ends the decline, and an Automatic Rally (AR) sets the support and resistance of a range-bound condition to follow. Subsequent volume on rallies and reactions tells the tale of latent Accumulation. This chart is rich with Wyckoffian principles, and it has been marked up for your study and evaluation. Let’s turn our attention to the PnF chart to demonstrate how much useful information is present for Swing Trading.

Charles Schwab Corp. (SCHW) Vertical Chart Study

Swing PnF Case Study

Charles Schwab Corp. Swing Trading Case Study. 1-Box PnF

A 1-box PnF chart, properly constructed, will characterize the essential elements of the vertical chart. Note how the PnF strips out much of the noise and highlights the critical chart features. I often hear that traders find volume easier to read and interpret on the PnF chart therefore it is suggested that all PnF charts be plotted with volume. A key feature of PnF charts is the estimation of the price objective determined by the size and structure of the Accumulation. There is no other technique for estimating price objectives as effectively as horizontal PnF counting. PnF is a centuries old, tried and true approach to evaluating and trading financial instruments.

For swing trading purposes, a 1-box reversal PnF is generated using ‘Traditional Scaling’. The up and down swings are clearly revealed with this method. With 1-box PnF the horizontal structure is well defined and the volume patterns are illuminating.

Chart Notes:

Selling Climax (SC) exceeds the Distribution count and finds support at $61. An Automatic Rally (AR) immediately follows and demonstrates emerging demand. A Secondary Test (ST) back to $61, which holds, and confirms this level to be the Composite Operator’s ‘Value Zone’. Volume declines on each reaction back to $61 ST level (support).
Volume expands on each rally (column of X’s) as the Accumulation matures to conclusion. Lower volume on declines and higher volume on the rally columns reveal that supply is diminishing and absorption has occurred. Higher volume on the rising columns is evidence of new demand by institutions. Accumulation is nearly complete.
The pullback to the LPS / BU (see vertical chart) produces a higher low. The turn off that low can be bought with a stop below support. The next entry level is the jump above $65 resistance with a stop below the LPS.
The price objective generated by the horizontal Accumulation is estimated by the PnF. There are 17 columns of count producing $17 of upside price objective (17 columns x $1-scale x 1-point reversal = $17). The percent potential of this swing trade is $17 from the $64 count line ($17/$64 = 26.6%). The price objective range is estimated by adding $17 to the $61 low of the Accumulation and the $64 count line. Producing a count range of $78 / $81.
The Buying Climax is reached at $82. Thereafter $83 is resistance and a Swing Distribution forms in this price zone. When the Swing PnF count objective is attained, profits are taken. In this example the local Buying Climax surge produces an ideal selling zone.

Campaign PnF Case Study

Charles Schwab Corp. Campaign PnF Case Study. 3-Box Method

Stepping out to the larger timeframe is essential. Please study this 3-box reversal PnF. It reaches back into 2022. A Campaign PnF Count Accumulation has potential objectives of up to $101 / $105. Also, the prior high is $83 which happens to be in the area of the Swing PnF price objective and natural resistance. Be on the alert for the generation of a new Swing PnF count structure in the months ahead. Often these Swing counts will coincide with the higher Campaign PnF counts. We will be watching.

All the Best,

Bruce

@rdwyckoff

A Very Happy and Prosperous 2025 to You and Yours!

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

Announcement

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Stock

Strongest Top 3 S&P 500 Stocks: Will They Lead the Pack in 2025?

The Santa Claus Rally may be iffy, but a 23.31% gain in the S&P 500 ($SPX) for the year isn’t too shabby. It was a stellar year in the stock market, especially for the top 10 weighted stocks in the S&P 500, and that’s worth making a toast as we close out 2024.

In terms of the performance of S&P 500 stocks, Palantir Technologies (PLTR), Vistra Corp (VST), and NVIDIA (NVDA) took the top 3 spots. But performance is just one measure, and there are several other benchmarks. One that’s worth considering is strength, and, as the year winds down, let’s look at which S&P 500 stocks ended the year as the technically strongest ones.

In the Sample Scan Library, if you run the S&P 500 Stocks under Predefined Groups and sort the results by the StockCharts Technical Rank (SCTR, pronounced S-C-O-O-T-E-R) from highest to lowest, PLTR takes the crown, followed by United Airlines Holdings Inc. (UAL) and then Tesla Inc. (TSLA). Let’s look at each of these stocks more closely.

PLTR Stock’s Ride to the Top

When PLTR’s stock went public in 2020, it was volatile — there was a lot of chatter about the stock in the media. But in 2022, the stock went through a slump. In 2023, it started showing signs of resurfacing, gaining strength, getting clobbered, and reviving itself before making its way to the top of the performance and strength category.

The daily chart below shows that PLTR’s stock price has had a SCTR score above 76 since early June 2024. During that time, the stock price stayed above its 50-day simple moving average (SMA), except for in August when it dipped below it for two trading days.

FIGURE 1. PLTR STOCK ENDED THE YEAR WITH THE HIGHEST SCTR SCORE. The stock has been in an uptrend since mid-2024.Chart source: StockCharts.com. For educational purposes.

PLTR stock was up 340.59% for the year and ended the year with a SCTR score of 99.7.

UAL Stock Takes Off

Airline stocks, in general, were hit hard by COVID-19, and the recovery has been slow. However, the resumption of travel by US consumers in 2024 helped many airline stocks, especially UAL.

After trading relatively sideways from 2020 to mid-2024, UAL’s stock price started a steep ascent in mid-September 2024. It crossed above its 50-day SMA and has remained above it for the year, hitting its altitude and now cruising at that level with some turbulence (see daily chart of UAL).

FIGURE 2. DAILY CHART OF UAL STOCK PRICE. Since September 2024, UAL has ascended steeply and hit cruising altitude.Chart source: StockCharts.com. For educational purposes.

The SCTR score has remained above 76 since September 16. UAL stock gained 134.34% in 2024 and ended the year with a SCTR score of 99.1.

TSLA Stock’s Wild Ride

TSLA is a stock that has been front and center in investors’ minds and is one of the most actively traded stocks in the S&P 500. The price gained traction towards the end of 2019 and, even though it had a rough 2022 and a pretty choppy 2023, TSLA’s stock has shown its might towards the second half of 2024 (see daily chart of TSLA).

FIGURE 3. TSLA STOCK’S A LITTLE CHOPPY. Although it has had its ups and downs, the stock rallied during the last quarter of the year.Chart source: StockCharts.com. For educational purposes.

Since the end of October, TSLA’s SCTR score has remained above 76 and the stock price has remained above its 50-day SMA. TSLA’s stock price gained 62.52% in 2024 and ended the year with a 98.4 SCTR score.

The Bottom Line

Will these three stocks — PLTR, TSLA, and UAL — remain strong in 2025? Be sure to add them to your ChartLists so you can keep an eye on their performance.

If the SCTR score remains high, consider adding positions when price pulls back and reverses with a follow-through. If the stocks show signs of weakening, it’s time to reevaluate. Identify which stocks are taking their place, analyze each one, and determine if adding the strong ones can add muscle to your portfolio.

Scanning for S&P 500 stocks with high SCTR scores is relatively simple to do in StockCharts. There are many other scans to explore in the Sample Scan Library. The nice thing is the scans are already built for you — coding skills are not necessary! It’s something to consider for 2025.

Stock

Is This ADX Pattern a Warning Sign for Investors?

In this exclusive StockCharts video, Joe shares a specific ADX pattern that’s signaling potential exhaustion in the momentum right now. Joe analyzes three other market periods that displayed this pattern and the resulting correction which followed. He then discusses some of the most attractive looking cryptos, as well as QQQ and IWM. Finally, he goes through the symbol requests that came through this week.

This video was originally published on January 2, 2025. Click this link to watch on Joe’s dedicated page.

Archived videos from Joe are available at this link. Send symbol requests to stocktalk@stockcharts.com; you can also submit a request in the comments section below the video on YouTube. Symbol Requests can be sent in throughout the week prior to the next show.

Stock

Do You Need Direction for 2025? Here Are 3 Charts You Should NOT Ignore

A little less than a week ago, I wrote an article about inflation and how it’s nothing more than a pipe dream in Fed Chief Jay Powell’s head. Let me expand on that article, maybe from a slightly different approach this time. The inflation rhetoric just won’t let up. Apparently, it makes no difference that the annual rate of core inflation has fallen from 6.7% to 3.3% and that the Fed sees this same core rate achieving its 2% target in 2027. The Fed still wants to talk about. So let’s let ’em talk. I follow the charts and what Wall Street is saying through these charts. I’m now to the point where I’m simply ignoring Fed Chief Powell and his waffling group of naysayers. Wall Street is speaking and THEIR voice is quite clear, unlike the constant Fed waffling that we’ve witnessed for 3+ years and counting.

A few things happen when inflation is considered problematic. First, money rotates into hedges like gold, other commodities, and/or real estate. Second, you sell the dollar as the currency will be negatively impacted by inflation. Finally, you sell growth stocks like CRAZY! Inflation eats away at the future earnings of growth companies and valuations are typically crushed as a result. I’m going to skip gold/commodities as I discussed both in my last article, but let’s take a look at a few charts to see if Wall Street believes inflation is a problem.

Real Estate

Certain areas of real estate, especially REITs, are a nice hedge against inflation as rents will typically be increased during inflationary periods. So this renewed inflation talk by the Fed is surely sending investors into real estate (XLRE), on a relative basis, correct? You be the judge.

Wow, look at that money pour into real estate! <sarcasm>

The U.S. Dollar (UUP)

Next, it’s time to confirm that everyone is selling the dollar, because you don’t want to get caught holding that bag, when the Fed’s worries about inflation prove true, right? Welllllll……

Yep, Wall Street cannot stand the thought of owning the greenback.

Growth Stocks

Holding growth stocks as inflation surges might be the worst possible investment of all. Growth stock valuations get HAMMERED during inflationary periods. We only have to look back at the 2022 cyclical bear market. Do you remember NVDA losing two-thirds of its market cap in less than 11 months? Even AAPL lost nearly 30% in 2022, before rallying strong as inflation peaked. These types of growth stocks will normally be pounded into the ground given rising inflationary expectations. So let’s see how growth (IWF) is faring vs. the benchmark S&P 500 as inflation gets set to rise again (Fed worry):

Once again, you can say how incredibly nervous Wall Street is about the inflation predicament we’re in. <more sarcasm>

MarketVision 2025

I don’t listen to the Fed when Wall Street says not to. I’ll let the media have its fun with the inflation problem we’re up against (ha ha). Over the years, it’s not about what you hear. It’s always about what you SEE (in the charts). Ignore everything else!

On Saturday, January 4th at 10am ET, MarketVision 2025 will begin and I’m planning to lay out 2025 for you in a way that everyone can understand. This is our 6th MarketVision event and I’ve nailed each of the last 5, in terms of market direction, and I’m confident I’ll nail this one too. I’m not a perma-bull. During MarketVision 2022, I suggested the S&P 500 could drop 20-25% before it happened. If I believe we’re going lower, I’ll say it. Unlike the Fed, I have conviction. I also have a very bold call for you this Saturday. Want to join me? We’re making this as easy as possible for you to join. To register for MarketVision 2025 and to gather more information, please CLICK HERE. One more thing. We’re adding a sweet bonus for all current non-members of EarningsBeats.com that register for Saturday’s event. It’s 1 year of EarningsBeats.com membership at no additional cost, a $997 value. Pay for the Saturday event and get a year of membership FREE. It won’t get any better than this.

Happy New Year to ALL! On behalf of EarningsBeats.com, I wish you all a healthy and prosperous 2025 ahead!

Happy trading!

Tom

Investing

A State-by-State Guide to Cannabis in Australia

Australia federally legalised medicinal cannabis in 2016, and Australia’s cannabis market has seen major growth since then.

Medical cannabis approvals were up by 120 percent in the first half of 2023 compared to the same period in 2022. Statista forecasts that Australian cannabis revenue will reach AU$3.73 billion in 2024 and grow at an annual rate of 3.22 percent, culminating in market volume worth AU$4.53 billion by 2029.

However, Australia’s cannabis industry is still young. Despite there being a strong case for a regulated market, which was outlined in a July 2024 report by the Penington Institute, recreational use is not legal and medical access remains limited and regulated. Yet, public support for legalisation is growing. YouGov data released in January 2024 showed that over half of Australians polled are in favour of decriminalising cannabis, and half of the respondents between the ages of 18 and 49 support legalising personal use.

In 2023, the Australian Greens, the country’s only seat-holding federal party in favour of legalisation, introduced the Legalising Cannabis Bill 2023. Sponsored by the party’s leader Senator David Shoebridge, the bill was Australia’s first parliamentary effort to legalise cannabis.

The legislation proposed that all citizens above the age of 18 can grow up to six plants per household and share homegrown cannabis products with others. Additionally, it proposed allowing individuals to possess up to 50 grams of cannabis.

The Legalising Cannabis Bill was amended based on survey results and expert feedback to address concerns related to underage buying and consumption, as well as quality, packaging and labelling of cannabis products. The Senate Legal and Constitutional Affairs Committee began an inquiry into the Legalising Cannabis Bill 2023 in September 2023 and released its report on May 31, 2024, in which the committee recommended that the Senate not pass the bill.

On November 27, the parliament voted on the bill, marking the first time the Federal Parliament voted on a plan to legalise recreational cannabis across the country. The result was a 13 to 24 vote against the legalisation.

Following the vote, Shoebridge said on Bluesky, ‘Labor and the Coalition once again teaming up to vote down law reform the community wants.’ He promised that they not giving up on legalising cannabis in a post on X, formerly known as Twitter.

As for the medical side, medical cannabis patients have access to various forms of the drug, including flower, oils and tinctures. However, only two medicinal cannabis products, Sativex and Epidyolex, are registered with the Therapeutic Goods Administration, and none are subsidised through the country’s Pharmaceutical Benefits Scheme. Patients who want access to medicinal cannabis must go through special pathways, and doctors who want to prescribe medicinal cannabis have to apply to do so.

At the state and territory level, the situation is more complex as each area of Australia has different rules that must be followed. Read on for a breakdown of the laws for medicinal and recreational cannabis in Australia’s six states and two territories, including one that legalised recreational cannabis possession.

Guide to cannabis in Australia: New South Wales

Use, supply and possession of cannabis is illegal in New South Wales (NSW), but first-time offenders with less than 15 grams on hand may only be issued a caution. Up to two cautions can be received; they often come with a referral for drug-related information. In February 2024, the NSW government expanded the program, allowing offenders to complete a drug and alcohol intervention program in place of paying the AU$400 fine.

However, any doctor can prescribe medicinal cannabis if it is determined an appropriate treatment and the doctor has the approvals required to do so. The NSW government has also allocated over AU$9 million to the Centre for Medicinal Cannabis Research and Innovation to educate the community, monitor clinical trials and conduct research into cannabis’ efficacy in treating conditions such as epilepsy and nausea associated with cancer treatments.

In February, while announcing a task force to drive growth in NSW’s hemp industry, Agriculture Minister Tara Moriarty told Guardian Australia that while the cultivation of hemp and cannabis are separate issues, she was open to increasing medicinal cannabis production and reforming state drug laws.

During its run for the last election in 2023, the Labor Party of NSW promised to hold a Parliamentary Drug Summit, the first of its kind since 1999. The four-day summit is scheduled to take place later this year, with two days of forums held in regional towns in November and meetings in Sydney on December 4 and 5.

An inquiry into the “true socio-economic cost and the opportunities of cannabis legalisation” was launched on March 21, 2024, chaired by Legalise Cannabis MP Jeremy Buckingham. The views and opinions of health experts, advocates and users have been submitted to the inquiry as of June, and the inquiry will report its findings before the summit.

According to the release, NSW treasurer and upper house MP Daniel Mookhey said the government “welcomed the opportunity to hear from experts, but warned any potential policy reform would be examined at the state’s drug summit later this year.”

Buckingham has also called on the NSW government to investigate a defence for unimpaired drivers who use medical cannabis.

The NSW government is currently holding the NSW Drug Summit, which seeks to ‘bring together a range of perspectives and build consensus on the way NSW addresses drug use and harms.’

One was held in Griffith on November 1 and another in Lismore on November 4. Two consecutive days of the summit will take place in Sydney on December 4 and 5.

The summit is taking input from the public, inviting individuals and organizations to submit their proposals and/or opinions pertaining to the summit’s discussions. The survey is available here.

Guide to cannabis in Australia: Victoria

Victoria was the first state to legalise medical marijuana use, and young children living with epilepsy were the first to gain access. Medical cannabis can be prescribed by any physician to a patient with any medical condition if the physician believes it is clinically appropriate and has obtained the necessary approval from the relevant regulatory body.

Recreational cannabis possession and use is a criminal offence in Victoria, but similar to New South Wales, those caught with a first offence of 50 grams or less are typically given a caution and directions to attend drug counselling. It’s more serious if there are additional charges or if a person is found with over 50 grams; 250 grams, or 10 plants, is considered a traffickable quantity of cannabis.

Last year, a Legalise Cannabis MP put forward a private member’s bill for personal use cannabis reform. The bill was discussed in an upper house debate in December, with opponents citing the risk of abuse and need to protect young and Indigenous Australians and supporters arguing that prohibition causes more harm. While it did not receive government support, the current Labor Party of Victoria has expressed a willingness to explore reformation.

On May 20, the government announced the launch of a closed-circuit trial in partnership with Swinburne University to assess driving abilities of medical cannabis users. Under the current law, drivers found with any trace of THC in their saliva face a mandatory licence suspension and fines, even though THC is detectable for several hours after ingestion.

The trial was scheduled to begin in September 2024 and last 18 months. Advocates were disappointed that it will not finish in 2024 as previously promised, with the completion expected in late 2025.

Cannabis Council Australia said in a November 13 newsletter that both houses of parliament in Victoria have successfully passed the Roads and Road Safety Legislation Amendment Bill 2024. This bill provides magistrates the discretion to evaluate individual cases where drivers, holding valid medicinal cannabis prescriptions, test positive for THC but show no signs of impairment.

The bill will take effect in mid 2025.

Guide to cannabis in Australia: Queensland

In Queensland, growing cannabis and recreational use are illegal under four different acts. Under the Drugs Misuse Act 1986, unlawful possession, supply, production and trafficking have maximum penalties of up to 20 years imprisonment, depending on circumstances such as how much cannabis is involved.

Medicinal use is less frowned upon in Queensland as any registered medical practitioner in the state can prescribe medicinal cannabis if clinically appropriate. Previously, the medical practitioner must have obtained Commonwealth approval in most circumstances; however, after new legislation changes in June 2020, any Queensland doctor can prescribe Schedule 4 CBD or Schedule 8 THC or CBD oil products without formal approval from state health authorities.

Medicinal cannabis can be administered via vapour, capsules, sprays or tinctures — smoking cannabis is not allowed in Queensland. Advertising medicinal cannabis is restricted to the medical, wholesale and pharmaceutical professions only.

However, Essential’s August 2023 poll results show that half of Queenslanders support the state’s legalisation, and members of the Labor party have called for the legalisation of personal possession of small quantities. This year, several Legalise Cannabis MPs joined festival-goers at MardiGrass 2024, an annual Cannabis Law Reform Protestival held in Nimbin, a small town about 20 kilometres from the NSW border that’s known for its residents’ alternative lifestyles as well as for cannabis culture.

A petition was also posted by Greens MP Michael Berkman to call on the government to make Queensland the first state to fully legalise cannabis. It has a target of 500 signatures, which it passed as of November 2024.

Guide to cannabis in Australia: South Australia

Cannabis flower, cannabis oil and cannabis resin are all illegal to keep, use, grow, sell or give away in South Australia. Possession for personal use can be penalised with an expiation, which is a fine without a criminal conviction. Large-scale trafficking or selling can attract big penalties of up to AU$1 million, 15 years to life imprisonment or both.

Those looking for medical cannabis products can obtain them via prescription from an authorised medical practitioner in the region. Approval under South Australian Controlled Substances legislation is also often required, although there are exemptions for elderly and terminal patients.

Despite South Australia having the most supporters for legalisation, reformation attempts have been unsuccessful. Member of Legislative Council Tammy Franks of the South Australian Green Party re-introduced the Cannabis Legalisation Bill 2022 in May 2022, but it has not progressed through the legislative process.

In September, a joint committee including members from several parties, including Franks, put forward an interim report with 13 unanimous recommendations. Among them was a call to reform zero tolerance roadside drug-testing laws to protect medicinal cannabis users in the state.

A spokesperson of the government said that the recommendations would be considered in ‘due course,’ and that ‘the government is open-minded to further improvements while ensuring road safety outcomes are maintained and any action taken is informed by research.”

Guide to cannabis in Australia: Western Australia

Even though Western Australia previously decriminalised cannabis in 2004, Liberal Premier Colin Barnett repealed the decision in 2011 as part of a “tough on crime” approach.

Possession of 10 grams or less can lead to a cannabis intervention requirement (CIR). This means the individual can attend a cannabis intervention session instead of facing a criminal conviction. If the person is 18 or older, they may receive only one CIR; however, those younger can receive two. Possessing more than 10 grams can result in a fine of up to AU$2,000, two years in jail, or both. Penalties are more severe for possession of over 100 grams.

Medicinal cannabis is available via prescription from any doctor in WA providing they have the required government approval. Prescriptions can be dispensed at any pharmacy. Driving with THC in your system is an offence in Western Australia.

Recently, two Legalise Cannabis MPs proposed bills to the State Parliament. The first would allow Western Australians to possess up to 50 grams of cannabis and to grow up to six plants per household. The Bill was introduced on March 21, 2024, with a debate held on June 21. However, the bill was rejected. The second bill called for a referendum question on the subject to be included on the state election ballot in March 2025.

On September 12, Dr. Brian Walker of Legalise Cannabis Party in Western Australia shared that the Legislative Council approved the motion to review the state’s industrial hemp legislation and regulation to make the plant easier to grow. He regarded the debate as “open and healthy,” adding that he hopes this would lead to “more acceptance of a crop which stands to deliver billions of dollars for the WA economy each and every year.”

Guide to cannabis in Australia: Tasmania

Prior to July 1, 2021, obtaining medicinal cannabis was fairly complicated in Tasmania — patients had to be referred to a specialist by their general practitioner, and then the specialist would make a decision. Generally cannabis would only be provided by specialists in limited circumstances once conventional treatment had been unsuccessful. Now general practitioners can fill out prescriptions if they believe it is clinically appropriate and if they have both Commonwealth and state approval to do so.

Possession of cannabis is illegal in Tasmania — in fact, any utensil or appliance for preparation, smoking or inhalation of cannabis is illegal and can attract a maximum fine of AU$7,950. Trafficking an amount of 25 grams of oil or 1 kilogram of plant material carries a serious imprisonment term of up to 21 years. However, police may issue up to three warnings for possession of less than 50 grams.

Guide to cannabis in Australia: Northern Territory

Cannabis is largely decriminalised in the Northern Territory (NT), but possession of a small quantity in a public place still carries an imprisonment penalty. Possession of less than 50 grams in your own home is penalised with a fine of up to AU$200. The penalty for cultivating, even small amounts of less than five plants, is 200 penalty units or two years imprisonment. A commercial quantity of more than 20 plants results in life imprisonment, as does “cultivation in front of a child.”

The first NT medicinal cannabis patient to fill a script did so in November 2019, but uptake has been slow since then and the NT has a low number of users. That’s largely because there are few doctors who are authorised prescribers in the NT, and as the area is remote, travel to those clinics is not feasible for all residents.

Schedule 8 medicinal cannabis medicines are regulated in the same way as other Schedule 8 medicines such as morphine and oxycodone in the Northern Territory. The government said that there is no need for a prescriber to obtain an authorization prior to prescribing medicinal cannabis for a particular patient, but that they are required to notify the Chief Health Officer should the patient need to receive the medicine for more than two months due to the treatment being successful.

Products containing CBD are Schedule 4, and as such can be prescribed and continued without need for notification.

Guide to cannabis in Australia: Australian Capital Territory

In September 2019, the Australian Capital Territory (ACT) passed a bill to legalise the possession of small amounts of cannabis for personal use as of January 31, 2020, if the possessor is 18 years of age or older. It’s important to note that the ACT’s state laws conflict with federal laws, which still prohibit the recreational use of cannabis, and federal lawmakers have attempted to overturn the legislation in the past.

ACT residents who are over 18 can carry up to 50 grams of dry cannabis, or 150 grams of wet material, and can grow as many as two plants per person (or four per household). Exceeding limits precipitates a fine, not criminal charges. Plants must also be grown outdoors only, leaving them open to theft.

Medicinal cannabis is available for ACT patients with a number of conditions on a case-by-case basis. Doctors must have approval from the ACT Chief Health Officer and the Therapeutic Goods Administration to prescribe.

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

Investing

13 Canadian Crypto ETFs

Cryptocurrencies such as Bitcoin and Ethereum offer an alternative route for building and storing wealth. While directly holding these digital assets is a popular option, investors are also clamoring for financial products such as crypto exchange-traded funds (ETFs).

Canada first launched Bitcoin and Ethereum ETFs in 2021. These Canadian Bitcoin and Ethereum ETFs allow investors to place returns in tax-sheltered accounts like tax-free savings accounts or registered retirement savings plans.

“There is a high demand for a Bitcoin product that has all the features that people love about ETFs — that they trade on an exchange, that they’re liquid,” Ross Mayfield, investment strategy analyst at Robert W. Baird & Co., told Bloomberg in mid-2021.

Interest has only increased since then. In the US, Bitcoin ETFs’ net assets surpassed US$100 billion on November 21, gaining ground on US gold ETFs. Sean Farrell, head of digital asset strategy at Fundstrat, wrote in mid-2023 that the Bitcoin ETF category at large has the potential to surpass the precious metals ETF market in terms of asset value. ‘Bitcoin ETF eventually could become >$300 billion category,’ he stated in the note.

Ethereum ETFs have also become a major talking point. Ethereum is the most widely used blockchain technology, and Ether, the digital currency of this platform, is the second largest cryptocurrency after Bitcoin.

With that in mind, it’s worth taking a look at the currently available Canadian cryptocurrency ETFs. The list below includes 13 Ether and Bitcoin ETFs available on the Canadian market sorted by assets under management, and all data presented is current as of November 21, 2024.

1. Purpose Bitcoin ETF (TSX:BTCC)

Company Profile

Assets under management: C$3.4 billion

Billed as the world’s first physically settled Bitcoin ETF, the Purpose Bitcoin ETF launched in February 2021 and is backed by Bitcoin in cold storage. This means the fund allows investors to add and sell Bitcoin with no digital wallet required.

Hosted by Canadian investment company Purpose Investments, the Purpose Bitcoin ETF is backed by 25610.96 Bitcoins and has a management expense ratio of 1 percent.

2. CI Galaxy Bitcoin ETF (TSX:BTCX.B)

Company Profile

Assets under management: C$1.19 billion

Launched in March 2021, the CI Galaxy Bitcoin ETF was born out of a partnership between cryptocurrency leaders Galaxy Fund Management and CI Global Asset Management. Galaxy Fund Management is part of Galaxy Digital, a diversified financial services firm with a focus on digital assets and the blockchain technology sector.

The ETF’s objective is to give investors exposure to Bitcoin via an institutional-quality fund platform, as its holdings are wholly Bitcoin and are kept in cold storage. At 0.4 percent, this fund boasts one of the lowest management fees of all the crypto funds on the market.

3. Fidelity Advantage Bitcoin ETF (TSX:FBTC)

Company Profile

Assets under management: C$879.9 million

The newest Bitcoin fund on this list, the Fidelity Advantage Bitcoin ETF, launched in November 2021. It offers the security of Fidelity’s in-house cold storage services for its holdings.

While it previously had a management fee of 0.4 percent, in line with the CI and Galaxy funds, the Fidelity Advantage Bitcoin ETF lowered it in January 2024 to an ultra-low management fee of 0.39 percent.

4. CI Galaxy Ethereum ETF (TSX:ETHX.B)

Company Profile

Assets under management: C$503.35 million

The CI Galaxy Ethereum ETF, another collaboration between CI and Galaxy, offers investors exposure to the spot Ethereum price through Ether holdings in cold storage. The fund launched on April 20, 2021, the same day as two of the other Ether ETFs on this list.

At the time, CI Global Asset Management suggested that “owning Ether is similar to owning a basket of early-stage, high-growth technology stocks.”

The CI Galaxy Ethereum ETF has notably low management fees of just 0.4 percent.

5. Purpose Ether ETF (TSX:ETHH)

Company Profile

Assets under management: C$403 million

The Purpose Ether ETF is a direct-custody Ether ETF that launched on April 20, 2021. This fund holds 94065.95 Ether, which it stores in cold storage.

The Purpose Ether ETF offers investors exposure to the daily price movements of physically settled Ether tokens with a management fee of 1 percent.

6. Evolve Bitcoin ETF (TSX:EBIT)

Company Profile

Assets under management: C$342.54 million

Evolve ETFs partnered with cryptocurrency experts, including Gemini Trust Company, CF Benchmarks, Cidel Bank & Trust and CIBC Mellon Global Services, to launch the Evolve Bitcoin ETF. The fund, which holds its own Bitcoin, has a management fee of 0.75 percent.

Launched a week after the Purpose Bitcoin ETF, its holdings of Bitcoin are priced based on the CME CF Bitcoin Reference Rate, a once-a-day benchmark index price for Bitcoin denominated in US dollars.

7. 3iQ CoinShares Bitcoin ETF (TSX:BTCQ)

Company Profile

Assets under management: US$244.35 million

Launched in March 2021, the 3iQ CoinShares Bitcoin ETF tracks the price movement of Bitcoin in US dollar terms and holds its Bitcoin assets in cold storage. This ETF has a management fee of 1 percent. Figures for this ETF were accurate as of October 31, 2024, according to the fund website.

8. Purpose Bitcoin Yield ETF (TSX:BTCY)

Company Profile

Assets under management: C$149.9 million

The Purpose Bitcoin Yield ETF uses a covered call strategy to generate yield for investors, which involves writing call options on Bitcoin. Call options give the buyer an option to purchase an asset at a specific price on or before a specific date.

Its structure allows the fund to earn income from option premiums while providing investors with exposure to Bitcoin’s price movements. Its distributions are paid monthly.

9. Evolve Ether ETF (TSX:ETHR)

Company Profile

Assets under management: C$92.89 million

The Evolve Ether ETF offers investors an easier route to investing directly in Ether. The fund’s holdings of Ether are priced based on the CME CF Ether-Dollar Reference Rate, a once-a-day benchmark index price for Ether denominated in US dollars. As with the Evolve Bitcoin ETF, the Evolve Ether ETF has a management fee of 0.75 percent.

10. Evolve Cryptocurrencies ETF (TSX:ETC)

Company Profile

Assets under management: C$72.66 million

The Evolve Cryptocurrencies ETF launched in September 2021 as the first multi-cryptocurrency ETF, providing combined exposure to both Bitcoin and Ether.

This product from Evolve ETFs allows investors to diversify their crypto portfolios and provides indirect exposure to the two coins, weighing them by market capitalization and rebalancing its holdings on a monthly basis. Bitcoin makes up the majority of its portfolio.

While this ETF has no management fee, the underlying funds that hold both Bitcoin and Ether have management fees of 0.75 percent plus applicable taxes.

11. Purpose Ether Yield ETF (TSX:ETHY)

Company Profile

Assets under management: C$69.6 million

Like the Purpose Bitcoin Yield ETF, the Purpose Ether Yield ETF offers investors an opportunity to invest in Ether while also generating yield. Purpose Investments lends a portion of its Ether holdings to institutional borrowers and earns interest on those loans.

Investors who purchase shares of this ETF receive a portion of the interest earned in monthly distributions.

12. 3iQ CoinShares Ether Staking ETF (TSX:ETHQ)

Company Profile

Assets under management: C$‪52.77 million

Following the success of its Bitcoin ETF, 3iQ Digital Asset Management launched its CoinShares Ether Staking ETF in April 2021. This fund has a similar objective, offering exposure to Ether and its daily US dollar price movements. It also has a management fee of 1 percent.

Figures for this fund were accurate as of October 31, 2024, according to the fund website.

13. Fidelity Advantage Ether ETF (TSX:FETH)

Company Profile

Assets under management: C$28.2 million

Following the successful launch of its Bitcoin fund, Fidelity brought its Advantage Ether ETF to market in September 2022, making this the newest Ether ETF in Canada. Its holdings are stored in Fidelity’s in-house cold storage.

The Fidelity Advantage Ether ETF has a management fee of 0.4 percent.

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com