..strangely Juan omitted the big event - the Chinese bazooka stimulus- that is the 100% contributor to resource stocks, including lithium, getting their mojo back and it shows how connected the fortunes of resource stocks to the fortunes of the Chinese economy.
..but this week, markets celebrate the Chinese stimulus as a new game changing driver to resuscitate a moribund Chinese economy; in weeks and months to come markets will turn towards how these policies can be effective to drive needed revival --you can loosen monetary policy and increase liquidity and loans available but changing consumer (especially Chinese) behaviour to come out of their conservative shells to take on more risks and consumption can be more challenging than the policies hope to achieve.
...lithium price is not recovering notably, neither would EV growth accelerate outside of China anytime soon. So the medium and longer term outlook has not changed for EV/Lithium.
...A short term trading play, so lets enjoy it while it last. We may have just a week before Oct 4 US NFP data takes over market attention.
Major #lithium stocks rallied today to reach levels not attained since July despite a slight spot price fall in recent hours.
What happened?
1) Stock indexes (S&P 500, DJIA, & Nasdaq) rose this week.
2) US economy grew at a 3% annual rate during the spring.
3) WTI fell 2.9%.
