Hi Phantom,Basic economic rule of supply and demand is the cause...

Hi Phantom,

Basic economic rule of supply and demand is the cause - too much supply = less demand = falling lithium price = falling SP. Compare AGY's SP with the price of lithium since the beginning of the year, they roughly correlate.

Although the lithium boom won't likely reappear to the same extent as it did at it's highpoint in 2022/2023, it will rise again as it is uneconomical for some to produce lithium at low prices, and it is certainly so for small explorers to start up production. The oversupply of lithium will fade through the year.

AGY will get an off take agreement when they have proven their ability to consistently produce close to the production plants max. capacity, and the SP will improve dramatically as a result. In the meantime it doesn't bother me if the SP rises or falls, as it's a win/win either way - if it falls I buy some more shares, if it rises I make more money. It comes down to whether investors believe they can get the production plant going at full capacity, which I believe they will in the very near future. A leap of faith, but that's share trading I suppose.

Almost all the stocks in my portfolio were either in the green or close to it last week (lithium, gas, oil, copper, iron, REE, medical), now 9 out of 10 are in the red - why is that, what has changed? The market behaves in this way every year without fail in June, as investors sell up their losing stocks to lock in losses for tax purposes at the end of the financial year. After July things should look a lot better, until September(ish) when there seems to be another follow up selloff. Good times to buy though, in fact as soon as I have some decent cash I will probably ONLY buy during those times except in exception circumstances.