Supply issues dominate battery material price performance
Supply issues continued to impact price performance of battery raw materials in August. On the plus side, shortages of class 1 nickel, a very limited project pipeline and the continued fall in LME nickel metal inventories led to a 24% m/m rise in LME nickel prices. Also positive was cobalt, where announced production cuts by Glencore had a positive impact, although we remain wary about high inventories of cobalt intermediates within the supply chain. On the negative side, oversupply in lithium chemicals, spodumene concentrate and now fine-grained flake graphite is impacting prices and is likely to continue to do so...