The S&P/ASX 200 Index (ASX: XJO) gained 0.52% today, but three ASX 200 lithium shares outperformed the broader market.
The Pilbara Minerals Ltd (ASX: PLS), Allkem Ltd (ASX: AKE), and Sayona Mining Ltd (ASX: SYA) share prices all charged higher today.
So what went on with ASX 200 lithium shares today?
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What happened?
Pilbara shares lifted 3.8% today, while Allkem shares rose 3.17%. Sayona Mining shares soared 6.98%. The S&P/ASX 200 Materials Index (ASX: XMJ) climbed 1.19% on Thursday.
It seems a hike in the lithium price may have given ASX 200 lithium shares a boost today.
Lithium carbonate (99.5% battery grade) lifted 5.84% to US$41,448.11 a tonne on the Shanghai Metals Market.
ANZ economist John Bromhead said signs the "destocking cycle in China has passed" boosted sentiment across the lithium market.
In a research note today, he noted lithium carbonate prices in China soared more than 15% this week "amid signs of improvement in the electric vehicle (EV) sector", adding:
China will speed up the building of power charging facilities for EVs in rural areas so they will be available in every province.
The LME [London Metal Exchange] is also working with a Chinese firm in potentially offering lithium metal contracts. Tesla has also raised prices for some models in recent weeks, raising hopes the recent price war has ended.
Multiple lithium shares also rose in the US overnight. Lithium Americas Corp (NYSE: LAC) shares jumped 3.65%, the Livent Corp (NYSE: LTHM) share price hiked 1.81%, and Albermarle Corporation (NYSE: ALB) shares lifted 1.13%.
Share price snapshot
The Pilbara share price has soared 76% in the last year.
Allkem shares have lifted 23% in the past 12 months.
Meantime, Sayona Mining shares have dropped 22% in the last 52 weeks.
