Cannabis stocks moved into the red Thursday in a sign of investor doubt over whether Matt Gaetz's nomination to the job of U.S. Attorney General would be confirmed despite the controversial Republican's pro-pot stance.

The Florida Republican’s departure effectively ends the House Ethics Committee’s investigation of allegations that include sexual misconduct and illicit drug use.

"This is positive for cannabis as Gaetz has been one of the more vocal cannabis legalization backers in the House GOP. This should take off the table the risk that a Trump Attorney General attacks legalization at the state level by asserting federal authority," Jaret Seiberg, an analyst at TD Cowen Washington Research Group, said in a note.