Rare Metals Stocks Outlook: Silver’s Record Run, Lithium Demand Warning, and Rare Earth Supply Chains in Focus Before Monday’s Open

NEW YORK, Dec. 28, 2025, 12:42 PM ET — Market Closed

U.S. equity markets are closed Sunday, leaving investors in rare metals stocks—from rare earths and graphite to lithium, antimony, silver, and platinum group metals—to digest a headline-heavy stretch that reshaped the near-term setup for the next trading session.

The big picture going into Monday is a push-and-pull: a powerful precious-metals surge is lifting sentiment across parts of the mining complex, while fresh signals from China’s EV ecosystem are raising new questions about battery-metal demand in early 2026. Layer on top policy and supply-chain risk—a defining feature of the “critical minerals” trade—and rare metals investors are heading into the final days of 2025 with volatility still very much on the menu. ^[1]

What the broader market is telling rare metals investors

Friday’s thin, post-holiday session ended with major U.S. indexes essentially flat but still near record territory, a backdrop that matters for cyclical materials plays. The S&P 500 ended at 6,929.94, while the materials sector led S&P sectors on the day, according to Reuters—an important tell for investors watching capital rotate beyond mega-cap tech into real assets and resource-linked themes. ^[2]

That “materials leadership” signal coincided with a dramatic move in precious metals and related miners. Reuters reported U.S.-listed precious metal miners such as First Majestic, Coeur Mining, and Endeavour Silver rising as gold and silver hit fresh records. ^[3]

Precious metals surge spills into the “rare metals” trade

In the last 48 hours, the most market-moving commodity headlines for metals-linked equities came from silver and platinum.

Reuters reported silver breaking above the $77 level, hitting a record $77.40/oz, with the rally tied to a mix of supply deficits, safe-haven demand, and rate-cut expectations, while gold and platinum also pushed to records. ^[4]

The weekend brought an additional catalyst for the “strategic metals” narrative: Tesla CEO Elon Musk publicly warned about the impact of high silver prices on manufacturers, writing: “This is not good. Silver is needed in many industrial processes,” as reported by The Guardian. The same report highlighted IG analyst Tony Sycamore, who described a “generational bubble” dynamic in silver and pointed to a “severe structural supply-demand imbalance” as a key driver. ^[5]

Platinum’s move has also been notable. Reuters reported platinum jumping to an all-time high amid supply constraints and policy-related headlines in Europe tied to combustion-engine rules. ^[6]

Why it matters for rare metals stocks: even if your portfolio focus is rare earths or battery minerals, sharp moves in silver, gold, and PGMs can impact risk appetite and flows into miners broadly—especially late in the year when positioning and liquidity can amplify moves.

Battery metals: a new China lithium signal complicates the 2026 narrative

While precious metals ran hot, Reuters published a key weekend item for the battery chain: China’s passenger car association secretary general Cui Dongshu said demand for China’s lithium batteries is likely to slump in early 2026, citing expectations for a sharp drop in domestic EV sales and slowing exports.

Cui wrote that demand for “new energy batteries” would drop “drastically” after year-end, urging battery makers to cut production and “take some rest” to manage fluctuations. Reuters noted the demand shift could hit battery makers including CATL and EVE Energy, and also flagged policy risk tied to U.S. restrictions around projects that qualify for investment tax credits involving designated “foreign entities of concern,” according to UBS analyst Yishu Yan. ^[7]

Why it matters for rare metals stocks: any expectation of softer battery output can ripple through pricing and sentiment for lithium, graphite, and other battery inputs, especially if investors start focusing on inventories and margins rather than just long-term electrification demand.

Graphite stocks: the U.S. supply chain push gets louder

Graphite—often less flashy than lithium but essential for battery anodes—was back in the spotlight via an Associated Press report detailing renewed interest in U.S. graphite mining after decades of closures.

AP highlighted that trade tensions and China’s dominance are motivating new domestic projects. In New York state, Titan Mining Corp. is developing a graphite deposit with the goal of commercial sales by 2028. Titan CEO Rita Adiani said, “you can’t see China now as a reliable supply-chain partner.” ^[8]

The piece also included perspective from Gregory Keoleian, co-director of the Center for Sustainable Systems at the University of Michigan, who said the U.S. doesn’t want to be “completely reliant on other countries” when domestic resources exist. AP further quoted Anthony Huston, CEO of Graphite One, arguing there is “no reason” the U.S. should rely on China given the scale of domestic deposits. ^[9]

Why it matters for investors: in the rare metals space, policy support often shows up first in permitting speed, financing signals, and offtake discussions. Graphite is increasingly being treated not just as a commodity, but as strategic industrial infrastructure—the kind of narrative that can drive equity valuations ahead of fundamentals.

Rare earth stocks: MP Materials remains the bellwether

Among U.S.-listed rare earth plays, MP Materials (MP) remains the most watched “mine-to-magnet” story.

A fresh Barchart analysis published Sunday noted MP’s 2025 surge and framed the 2026 debate around execution and policy tailwinds, highlighting MP’s role operating Mountain Pass (the only large-scale rare earth mining/processing site in the Western Hemisphere) and its downstream buildout in Fort Worth, Texas. ^[10]

The same piece summarized MP’s Q3 results and pointed to the company’s expectation of improving profitability supported by a Department of Defense price protection agreement and a continued magnet-production ramp, alongside plans targeting mid-2026 heavy rare earth separation. It also cited Wall Street sentiment, reporting a “Strong Buy” consensus and a mean price target around $80. ^[11]

Snapshot: key rare metals stocks and last close levels

With markets closed, these are reference points from the most recent available trading data for widely followed U.S.-listed names:

Rare earths / strategic magnet supply: MP Materials (MP) $53.38; USA Rare Earth (USAR) $13.51
Specialty / critical metals: United States Antimony (UAMY) $6.24
Lithium producers: Albemarle (ALB) $150.01; SQM (SQM) $71.64; Sigma Lithium (SGML) $14.50; Lithium Americas (LAC) $4.69
Battery materials / graphite exposure: Westwater Resources (WWR) $0.8332
Precious metals miners (flow-through beneficiaries of record pricing): Coeur Mining (CDE) $19.19; First Majestic (AG) $17.42; Sibanye Stillwater (SBSW) $15.70

What to know before Monday’s session

Because U.S. exchanges are closed today, the next opportunity for price discovery is Monday’s regular session (following Sunday evening futures reopening for major indices). Here’s what rare metals investors should keep on the radar before the bell:

1) Macro catalysts: Fed minutes and year-end positioning

Reuters’ “Week Ahead” preview highlighted that Federal Reserve meeting minutes are due this coming week and could shape expectations for 2026 rate cuts—often a major driver for metals pricing, the U.S. dollar, and mining equity multiples. Paul Nolte of Murphy & Sylvest said market momentum remained with bulls, while Glenmede’s Michael Reynolds emphasized the market focus on “how many rate cuts” come next year. ^[12]

For metals-linked equities, this matters because real-rate expectations can influence everything from precious metals appetite to the cost of capital for developers.

2) Battery chain headline risk: China demand vs. long-term electrification

The Reuters lithium-battery story is a reminder that even in secular growth themes, the cycle still bites. If traders treat Cui Dongshu’s warning as a near-term demand shock, lithium and graphite names can move quickly—especially when liquidity is thin and sentiment is crowded. ^[13]

3) Supply-chain politics stays front and center

Between discussions of critical minerals, trade policy, and supply security, rare metals remain unusually sensitive to geopolitics. The AP graphite report underscores the domestic policy push to reduce reliance on China, while The Guardian framed silver’s surge partly through supply fears and changing export rules. ^[14]

4) Watch for exaggerated moves in thin trading

Late-December trading conditions can magnify price action. Reuters noted the light-volume setup and emphasized that rotation and sector leadership can shift quickly at year-end. ^[15]

Bottom line for rare metals stocks

Heading into Monday, the rare metals trade is being driven by two powerful storylines at once:

Bullish momentum in precious metals (with silver and platinum making headlines and pulling miners higher), and
A more cautious near-term tone for battery metals, after a new China-linked demand warning for early 2026.

For investors, the practical takeaway before the next session is to treat rare metals stocks as a high-beta intersection of commodities, geopolitics, and policy—and to be prepared for sharp moves as markets reopen, especially with year-end positioning still in motion. ^[16]