Core Viewpoint - Lithium stocks have declined despite rising lithium carbonate prices, indicating potential volatility in the market [1] Group 1: Market Performance - As of the report, Tianqi Lithium (09696) fell by 3.49% to HKD 47.02, while Ganfeng Lithium (01772) decreased by 2.43% to HKD 47.44 [1] - Lithium carbonate prices have surged since October, surpassing HKD 80,000 and HKD 90,000, reaching a peak of HKD 102,500 per ton on November 19, marking the highest level since June 2024 [1] Group 2: Supply and Demand Dynamics - The total monthly production of lithium carbonate continued to rise in November, with a month-on-month increase of 3% and a year-on-year surge of 49%, indicating ongoing domestic supply expansion [1] - Guoyuan Futures reported that while market expectations for December demand remain positive, the actual demand performance is falling short, influenced by existing lithium salt inventory levels and high lithium prices [1] Group 3: Price Outlook - Due to the combined effects of inventory levels and year-end demand, it is anticipated that support for lithium prices may weaken, leading to a potential short-term downward trend in prices [1]