President Donald Trump is reportedly pressuring FDA Commissioner Marty Makary to approve flavored nicotine vaping products.
Shares of Turning Point Brands (+3.2%) and British American Tobacco (+1.7%) rose, while Philip Morris and Altria trimmed earlier losses.
The FDA has historically limited approvals to tobacco and menthol flavors, keeping most fruit and candy options in regulatory limbo.
Analysts say an FDA green light for fruit or dessert flavors could unlock significant revenue for legacy tobacco and vaping firms.