NewsSignals AI analysis·Market Index·
ASX lithium crash: PLS, LTR, MIN face third bear market in a decade
Grade Abearish AI signal$PLS$LTR$MIN$CXO
Lithium prices have plunged from their 2026 peaks, with Chinese lithium carbonate futures down 55% and Australian spodumene prices down 48%, signaling renewed bearish pressure across the sector.
Chinese lithium carbonate futures closed at RMB94,180 per tonne, while expectations for expanding mine supply and slower battery production growth have weakened sentiment despite forecasts for long-term demand growth.
Further supply increases could extend the lithium downturn and intensify pressure on Australian producers unless mine output falls short of forecasts.
Bullish strength: 28/100
- Canaccord forecasts lithium demand growth of 29% in 2026 and 16% in 2027.
- Potential supply delays and restrictions could deepen future market deficits.
- Lithium carbonate inventories continued falling through September, according to Macquarie.
Bearish strength: 72/100
- Chinese lithium carbonate futures are down 55% from their May peak.
- Australian spot spodumene prices have fallen 48% from their peak.
- Canaccord forecasts mine supply growth of about 1.35 million tonnes LCE by 2030.
- Weaker-than-expected battery production schedules have raised concerns about near-term demand.
This is automated NewsSignals analysis of third-party reporting, not independent original reporting or investment advice. AI scores are not price predictions.