Image source: Getty Images
The Lake resources (ASX: LKE) The stock price dodged today’s market carnage despite the company’s silence.
Lake Resources closed Tuesday’s trading session at $1.59, up 13.6% from its previous close.
For context, the broader market was sold off today after Wall Street and major cryptos fell on Monday.
The S&P/ASX 200 Index (ASX:XJO) ended down 3.5% while the Index of all ordinaries (ASX:XAO) plunged 3.7%.
Let’s take a closer look at what’s going on with this lithium explorer.
What drove the price of Lake Resources stock up today?
Lake Resources would top the ASX 200 performance charts on Tuesday if not for one thing. The company is not yet included in the index.
It is expected to join the ASX 200 on June 22 during the quarterly rebalancing.
The company’s imminent inclusion in the index may have boosted its stock price today. Being part of an index means that funds that track the index will be forced to buy shares of Lake Resources in the coming weeks.
However, other shares of ASX lithium Core Lithium Ltd (ASX:CXO) is also expected to join the index on June 22, but it didn’t relish today’s trade. It ended the session down 2.41% at $1.215.
Including today’s gains, Lake Resources’ stock price is 45% higher than it was at the start of 2022. It has also gained 558% since this time last year.