Re:Why Are Lithium Prices Collapsing?
by chii on Sunday April 30, 2023 @03:00AM
(#35760272)
> the biggest movement in prices is not because of demand and supply but rather because of speculation and gambling
the movement reflects the expected future supply and demand at the time.
The speculation is something that financial engineers use to offload the risks of such commodities from one party to another (such as from producers to consumers of said commodities).
Re:Why Are Lithium Prices Collapsing?
by xbmcuser on Sunday April 30, 2023 @03:33AM
(#35760393)
With the way derivatives are used these days to speculate/gamble they do not help rather result in the boom bust cycles we see in more and more industries these days.
the movement reflects the expected future supply and demand at the time.
The speculation is something that financial engineers use to offload the risks of such commodities from one party to another (such as from producers to consumers of said commodities).