PLS chart, page-19182

Hi Folks

Couldn't get to sleep, so I got up for a while to look at the opening of the US markets.

In my earlier post I discussed the effect the China graphite restrictions that are due in December and the impact on the LIT eft with battery & EV auto makers as well as lithium miners and processers.

In my post I suggested that I may be over reacting a little, by suggesting a "black swan event". Maybe, however the market is continuing to react and adjust to the concept of what may happen looking forward just to the LIT companies. Tit for tat trade sanctions is another kettle of fish.

In my quick scan I started with Freyr battery (FREY) I looked at it very occasionally as a bellwether battery stock to gauge the health of the battery industry. It had been a long time since my last look and it had been well down then. At opening its currently down 6% from yesterday close. I was staggered by what I saw on the charts. Its down 67% in 70 TD's from 10.10 to 3.18. The graphite sanctions news is less than a week old. Chart below.

So I switched to other LIT companies for the same period ALB down 45% in 73 days and recently 25% in 9 TD's. Today is current down 3.3%
Tesla (TSLA) , Rivn Auto (RIVN) Panasonic (6752.T) all took big hits of 20-30% in the last 10-20 TD"S starting before the sanction news broke

Apparently the US is currently supplied with 30% of its graphite from China. With South Korea and Japan it over 90% and although they may not be directly affected after the December sanctions its a wake up call to both of them. I don't know about Europe but I image they are somewhere in between.
Talk about the warning to every industrial country in the world "Don't p*ss China off"

Two rare earth minerals are already being sanctioned and graphite make a third critical material. There are a great deal of rare earth minerals where China is the dominant player.

I can't get my head around what industry could look like in a years time.

LIT eft is currently down 2.35% today, so that bounce in PLS up to 3.93 will result tomorrow in the issuing of a death certificate for the cat.

I am going to try for sleep.

DYOR

cheers LIes

PS for those of you who like to research in the light of this news spend some time investigating an Aussie company called TLG, who happens to have made a significant graphite discovery in Sweden and has already started mining.