Here's Why USA Rare Earth Shares Rose Again Today

Whether investors like it or not, rare earth stocks are politically sensitive. That argument holds for several reasons. As such, when they move in favor of USA Rare Earth (NASDAQ: USAR) and others, then the stocks are likely to rise. That fact goes a long way to explaining why the stock was up 6.3% at 11:30 a.m. today. Yesterday, I discussed how the market realized there wasn't actually a major breakthrough in the current trade impasse between the U.S. and China, specifically regarding the export of rare earth materials. In addition, there's no change in the importance of the U.S. securing a reliable domestic source of rare earth materials and magnets. That point was highlighted by the $19.3 million award (subject to negotiation) to USA Rare Earth to develop "the development of a pilot-scale rare earth element ("REE") separations project advancing domestic processing capacity." Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool