The rare earth metals market has been depressed for three years. This year, however, they became the center of geopolitical arguments. After all, China controls 92% of the rare metals market. Those metals are the essential components in MRI machines, cell phones, batteries, satellites, military, and numerous other industries.
The demand is rapidly growing, while geopolitical tensions can disrupt the supply. It is starting to look like a lucrative investment. The chart below of REMX (rare earth metals ETF) shows how out of favor this industry has been. We believe it is overdone on the downside.
Dennis
