Last week the S&P/ASX 200 index fought back from some midweek jitters to record a solid weekly gain.
The benchmark index ended the period 27.4 points or 0.4% higher than where it started it at 6739.7 points.
Whilst a good number of shares pushed higher, some climbed more than most. Here's why these were the best performing ASX 200 shares:
The Lynas Corporation Ltd (ASX: LYC) share price was the best performer with a 25.9% gain last week. Investors were buying the rare earths producer's shares amid news that the U.S. Army is looking to fund the construction of a rare earths plant for weapons development. Lynas commented that it "would expect to submit a compliant tender." The U.S. military is offering to fund up to two-thirds of a refiner's cost. This is due to China's dominant position in rare earths and concerns that it will use it as geopolitical leverage.
The Orocobre Limited (ASX: ORE) share price was on form last week and rose a sizeable 15.4%. Although there was no news out of it over the period, lithium miners were given a boost from a speech at the Nobel Prize event. The winner of the Nobel Prize for chemistry, Akira Yoshino, said he believes lithium-ion batteries will play key role in achieving a sustainable society.
The South32 Ltd (ASX: S32) share price raced a sizeable 13.4% higher last week. A rise in commodity prices last week appears to have been behind this solid gain. It even managed to offset disappointing news that the mining giant would be removed from the S&P/ASX 20 index at the next quarter rebalance. It will be replaced in the index, which covers the 20 largest ASX-listed companies, by gold miner Newcrest Mining Limited (ASX: NCM).
The Virgin Money UK PLC (ASX: VUK) share price was on form again last week and recorded a 12.5% gain. The majority of this gain came on Friday after exit polls in the UK pointed (correctly) to a landslide victory for Boris Johnson's Tory party. Investors appear pleased that the UK will finally be able to push ahead with its plans to leave the European Union, possibly as soon as the end of next month.
