Lithium carbonate on strong demand for batteries, as the price exceeded $71.000 per ton on the Chinese commodity exchange.
Unlike the other commodities that followed the opposite direction due to higher inflation, lithium carbonate prices rose 4 times since the same period last year. With the increasing demand and usage for the manufacture of batteries for making electric cars, smartphones, and other devices, the price of lithium exceeded $71.000 per ton on the Chinese commodity exchange. And if the Yuan was stronger compared to the US Dollar now, it would be at a much higher price.
Technically speaking we are looking for further weakness on Lithium and Battery ETF, which obviously has a lot to do with the global events. We see recession coming based on latest CB decisions and economic events. Some sectors are already suffering, and Global X Lithium & Battery Tech ETF may not be an exception.
by Stavros Chanidis and Grega Horvat