Stocks Rally After Trump Comments on China, Rare-Earth Controls
10/13/2025, 7:04:37 PM | China | United States
Military & Defense
Trump’s remarks eased rare-earth export fears, lifting miners’ shares and sparking a broader market relief rally amid geopolitical uncertainty.
Stocks rebounded Monday after President Donald Trump’s comments eased immediate worries about Chinese curbs on rare-earth exports. S&P 500 futures signaled a relief rally, while miners MP Materials (MP) and USA Rare Earth (USAR) rose sharply in early trading. Beijing recently imposed tighter export controls on certain rare earth minerals and permanent magnets; China’s Commerce Ministry said the measures relate to “world peace and regional stability” and are part of leverage ahead of planned U.S.-China talks. Rare earths such as neodymium and dysprosium are essential for high-strength permanent magnets used in electric vehicles, wind turbines, and defense electronics, and China remains dominant in mining and processing capacity. The market response underscores how quickly geopolitics can reprice upstream suppliers and ripple into technology and defense supply chains: producers may benefit from higher commodity valuations, while downstream manufacturers face potential cost and sourcing pressure. Traders and analysts are watching whether diplomatic engagement will ease export constraints or whether policy changes will persist, sustaining volatility for related equities and supply-dependent sectors.