Shares of MP Materials Corp MP are trading sharply higher late Thursday following a report from Bloomberg that the Trump administration is considering using Cold War-era powers to bolster the domestic supply of rare earth elements.

As the sole domestic producer, MP Materials is seen as a primary beneficiary of any such government initiative.

What To Know: According to the Bloomberg report, which cites people familiar with the matter, officials are discussing invoking the Defense Production Act. This would unlock financing, loans and other support for projects related to rare earth mining and processing.

The move is aimed at reducing U.S. reliance on China, which currently dominates the global rare earths market. This initiative has gained urgency amid ongoing trade tensions and Beijing's willingness to use its control over these critical materials as leverage.

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The plan reportedly includes prioritizing and funding projects deemed essential to national security. The administration’s goal is to develop a “mine-to-magnet” capability within the U.S., a capacity it currently lacks at scale. While a specific course of action has not yet been finalized, the discussions alone have been enough to energize investors.

MP Price Action: According to data from Benzinga Pro, MP Materials stock closed higher on Thursday by 13.88% at $29.20 on heavy volume. The day’s trading volume of over 22 million shares was more than triple its 100-day average volume. Benzinga Pro data also indicates a short interest of 18.78% of the float, which could contribute to volatility.

How To Buy MP Stock

Besides going to a brokerage platform to purchase a share — or fractional share — of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, MP Materials is in the Materials sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

According to data from Benzinga Pro, MP has a 52-week high of $29.96 and a 52-week low of $10.02.

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