Regarding that NVX drop on the back of the Tesla/China graphite...

Regarding that NVX drop on the back of the Tesla/China graphite news, my first instinct is to read it as a positive. A positive for everybody.

Apparently Tesla need to buy so much bloody graphite anode that the entire US production they can get their hands on still won't be enough.
It tells us that yes Tesla still want graphite for anodes despite all the talk of silicon lately, and it also tells us the supply crunch is crunchier than we expected. Isn't this fantastic news? NVX basically has a guaranteed buyer for every gram they can supply.

It would seem the whole market has taken assumed that Tesla wanting Chinese graphite means they ONLY want Chinese graphite, which seems a little ridiculous.

My guess is the stock had just run so hard for so long that it only took the tiniest little doubt to trigger profit-taking in bulk.