Cannabis stocks surged Friday following reports that President Donald Trump would loosen federal restrictions on marijuana.

The possibility of a reclassification sent shares of cannabis companies through the roof. Tilray up 31%; Canopy Growth up 28%; SNDL up 20%.

The Amplify Seymour Cannabis exchange-traded fund, which trades under the ticker CNBS, was 30% higher. Innovative Industrial Properties, a real estate investment trust for the cannabis industry, shot up 9%.

The president indicated as far back as August that he was weighing the positives and negatives of a policy change. "I've heard great things having to do with medical, and I've heard bad things having to do with just about everything else," Trump said at the time, referring to the uses of the drug.

However, fresh media reports suggested Trump was planning to reclassify marijuana as a Schedule III drug from Schedule I, moving marijuana out of a class that includes heroin and placing it among the ranks of substances such as combination pain medications. Such a change would also change tax requirements for cannabis companies.