The S&P/ASX 200 Index (ASX: XJO) had a cracking day today, with the benchmark index closing 1.59% higher.
However, these 3 resource companies had an even better time, smashing through to set new 52-week highs.
Here’s the latest for these 3 rallying resource shares.
Which mining shares are rocketing?
Pilbara Minerals Ltd (ASX: PLS)
The Pilbara Minerals share price was up 7% to $1.07. This comes after the shares surged 7.49% yesterday when the lithium producer revealed its second quarter shipments to the market.
As shown in the release, spodumene concentrate shipments had reached record levels for the December quarter. Pilbara advised that this was due to the improved demand conditions and an upward trend in lithium chemicals pricing in China.
The concentrate shipped for the December quarter was 38% higher than the previous quarter.
Lynas Rare Earths Ltd (ASX: LYC)
The Lynas share price was up 7.24% for the day, hitting $4.59. Despite no recent news coming out from the company, the share continues to climb.
The rare earths supplier could be benefitting from the ongoing trade tensions with China. Coincidentally, Lynas is the only major rare earths producer outside of China, making it attractive during such political instability.
Yet, UBS downgraded Lynas to “neutral” in December. The broker suggests that the future electric vehicle demand has been built into the share price.
Fortescue Metals Group Ltd (ASX: FMG)
The Fortescue share price was up 3.47% to $25.92. The iron ore producer continues to benefit from the high commodity price. Today iron ore prices increased once again to $166.76 per tonne.
Supply issues for other iron ore producing competitors, paired with China’s growing demand have helped Fortescue’s share price increase 143.61% over the last 12 months alone.
In a December article from The Australian Financial Review, the Department of Industry, Science, Energy and Resources stated that it expected the price driving factors to persist for a further 6 months at minimum.
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Motley Fool contributor Mitchell Lawler owns shares of Lynas Limited. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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