Just the usual @Giose. When Lithium sneezes, the graphite sector catches a cold. Auction prices fell marginally in November for Pilbara Minerals as well @BGI. PLS SP dropped 11.43% today.
We've been through all this before when the GS analyst put out a note saying lithium will be in surplus a few months back. It will bounce back. I'm sure the shorters jumped in as I said last week they would whenever the opportunity arises. They just got an early Chrissie present.
In the medium term, if lithium prices do cool off somewhat, it will give the graphite price a chance to increase without hurting vehicle manufactures bottom line. Who knows but the Chinese might be expecting an increase this winter and are cracking down on lithium to make room.
"Chinese authorities are set to cancel new energy subsidies for battery manufacturers in January" - I've been reading this a lot lately. I thought someone posted an article a month or so back China was going to extend them for another year. I'm confused.
With what I've been posting over the last couple of days about the EU and US tightening the screws via legislation on ESG and emissions, I can't see them slowing down anytime soon. They're busy playing catch-up.
SYR Price at posting:
$2.29 Sentiment: Buy Disclosure: Held
(20min delay)