Sydney, March 4, 2026, 18:05 (AEDT) — The market has closed.
- PLS Group slipped 1.3% to close at A$4.74, deepening its two-day drop to roughly 8%.
- Lithium carbonate futures in China tumbled almost 13% Tuesday, reacting to sluggish February EV sales numbers.
- Traders are watching oil, rate expectations, and waiting on PLS’s next quarterly update for a new read on direction.
PLS Group Limited finished Wednesday at A$4.74, down 1.3%, following Tuesday’s 6.8% slide with lithium stocks still struggling. Shares kicked off at A$4.63 and ranged from A$4.61 to A$4.84 during the session. Roughly 21.5 million shares traded.
PLS keeps its reputation among investors as a leveraged bet on lithium prices and China’s demand, so the latest jolt has real consequences. On Tuesday, China’s most-active lithium carbonate contract on the Guangzhou Futures Exchange slumped 12.99% to 150,860 yuan a metric ton — brushing right up against its 13% daily cap, the most it can drop in a session. The selloff came after weaker February numbers from Chinese EV makers like BYD, according to Reuters.
The slide in lithium added to jitters in a market that was already on edge, with traders slashing risk. Major stock benchmarks dropped Tuesday, pressured by surging oil prices as the Middle East crisis deepened. Inflation worries mounted, and a Reuters markets wrap flagged high “potential for whiplash” as headline-driven swings took hold. Reuters
Rate chatter was swirling again locally. Fresh data out Wednesday showed Australia’s GDP up 0.8% for the December quarter, 2.6% higher year-on-year. Stephen Smith, partner at Deloitte Access Economics, flagged that these figures keep the Reserve Bank of Australia “on high alert,” making a May rate hike look more likely. “Cost-of-living pressures are still biting,” said IG analyst Tony Sycamore, noting households are choosing to save instead of spend. Reuters
PLS, previously known as Pilbara Minerals, extracts lithium at its Pilgangoora site in Western Australia and is involved in downstream processing via a South Korean joint venture producing battery-grade lithium hydroxide. Its portfolio also includes the Colina lithium project in Brazil, as stated in its profile.
Selling pressure has hit more than just a single stock. Mineral Resources sank 6% on Tuesday, while Fortescue dropped 4.4%. Profit-taking intersected with geopolitical jitters and talk of tighter policy, Sycamore wrote in an IG market note.
This trade flips quickly. If lithium futures in China steady, or EV demand shows resilience, bargain buyers might jump back in. On the flip side, if prices fall further, the sector’s earnings expectations could face a fresh reset.
Thursday is shaping up as a litmus test for China’s lithium prices and oil, both in focus as traders hunt for direction. High-beta miners are already feeling the drag from shifting rate expectations. PLS’s next checkpoint lands April 16 with its quarterly report, per the market calendar.
