The Zhitong Finance App learned that lithium stocks were higher in early trading. As of press release, Tianqi Lithium (09696) rose 5.13% to HK$34; Ganfeng Lithium (01772) rose 4.34% to HK$38.02.
According to the news, lithium carbonate futures recently showed signs of stopping falling and rebounding after experiencing a round of accelerated decline. The main contract once approached 150,000 yuan this morning. On the demand side, according to Dadong Times Think Tank, the total domestic lithium battery production schedule in July was about 283 GWh, an increase of 5.6% over the previous month. Among them, energy storage cells accounted for 42.9%, and ternary cell production accounted for 14.6%. Furthermore, the maintenance of lithium salt plants has spawned expectations of phased supply tightening. According to Baichuan, some lithium salt plants have recently announced maintenance plans one after another, and there will be phased reductions this month and next month. Meanwhile, South American salt lakes were hit by a blizzard, which may further affect production and shipping pace in the third quarter.
CITIC Construction Investment pointed out that current lithium prices are overvalued in anticipation of long-term easing, along with weekly inventories continuing to decline, and prices have fallen sharply in the short term. Fundamentals remained strong during the year, and the supply side remained tight. On the demand side, July and August are originally a low season for consumption, but the off-season is not weak. Demand is ahead and strong support is provided. Rigid procurement demand continues downstream, setting a solid bottom for lithium ore prices. At the inventory level, maintenance and production cuts are compounded by strong demand. While maintaining the warehousing trend and providing support to the bottom, there are also more optimistic price expectations for gold, nine, and silver.