Albemarle leads lithium names lower as Middle East war clouds demand outlook

Albemarle (ALB) -8.4% in Tuesday’s trading, making it the day’s biggest loser on the S&P 500, as lithium prices in China plunged on a weaker demand outlook, exacerbated by escalating Middle ‌East tensions.

Also: Lithium Argentina (LAR) -11.6%, Sigma Lithium (SGML) -11.3%, Mineral Resources (MALRY) -10.5%, SQM (SQM) -9.1%, Lithium Americas (LAC) -6.8%, Standard Lithium (SLI) -4.8%.

The most-active lithium carbonate contract on the Guangzhou Futures Exchange ​fell ~13% to close daytime trading ​at 150,860 yuan/metric ton, according to Reuters.

The decline ​followed reports of softer February sales from ​several Chinese electric vehicle manufacturers, including industry leader BYD, whose EV sales plunged more than 40% Y/Y during the month.

Lithium prices had been rallying recently, supported by Zimbabwe’s suspension of lithium concentrate ⁠and ​raw mineral exports, before ​the plunge in China.

ETF: (LIT), (BATT)

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