LAC - Tesla's move into lithium mining could hurt prices Morgan Stanley says

Lithium stocks (LC:COM) plunge after Tesla said at its Battery Day that planned improvements to its battery technology likely will reduce its dependency on outside battery metal supply chains, and Morgan Stanley analysts say the news is negative for the sector.[[ALB]] -11.8%, [[LAC]] -14.4%, [[SQM]] -10.1%, [[FMC]] +0.4%."Tesla announced improvements to battery technologies that are likely to support EV sales in the longer term, but also to reduce lithium usage and production costs. They also announced their own lithium mine with a new, lower-cost and more sustainable process," Stanley's Javier Martinex de Olcoz Cerdan says, and "lithium stocks [likely] to react negatively."Before the event, investors had expressed optimism about the potential for cheaper batteries, expected to translate into higher electric vehicle penetration and lithium demand, but "the excitement will be replaced by concerns, as the new technologies announced can reduce lithium usage and production costs," Stanley writes, adding that lithium stocks

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Tesla's move into lithium mining could hurt prices, Morgan Stanley says