Why MP Materials Stock Is Skyrocketing Today
The trade war between the United States and China is heating up and is leading investors to gobble up rare earth mineral stock MP Materials (NYSE: MP), which operates the only rare earth mine and processing facility in the United States. As of 11:25 a.m. ET, shares of MP Materials have soared 22.7%, while the S&P 500 (SNPINDEX: ^GSPC) has jumped 1.1%.
Throughout the morning, there have been reports emerging that suggest President Donald Trump plans to announce an executive order that will permit the United States to begin the stockpiling of rare earth minerals. Consequently, MP Materials is bright on investors' radars as it operates the sole rare earth mining asset, Mountain Pass, in the United States.
Last week, China halted exports of rare earth minerals. This represents a devastating blow to the various industries that rely on rare earth minerals for the manufacturing of their products, including semiconductors, electric vehicles, and defense. About 70% of U.S. imports of rare earth minerals come from China, the global leader in the production of these highly sought-after minerals.
Source Fool.com
