Lithium sector melting down as off-takers become an issue

Over the last few years we have seen seen speculators move into stocks that have been specialising in graphite, lithium, cobalt, vanadium and to a minor extent, rare earths. They can be loosely described as battery input materials. Of these the lithium businesses have had the most tangible early success with a number of new mines coming on stream. However, that hasn’t translated into profitability for operators. In fact, we are starting to see the flip side of the coin. The news flow over recent days should be worrying those still holding lithium stocks. 

 WeeklyComm31Aug2019.pdf