TMC Shares Surge 20.3% on Trade War Optimism
Shares of TMC The Metals Company (TMC) surged by 20.3% on Monday, following a significant drop just two days prior. The company, which is yet to commence operations, seeks to mine critical metals from the stock market today, with its ambitious project potentially addressing a global market valued at $20 trillion.
TMC's rally can be attributed to several factors. The ongoing trade war between the U.S. and China has brought attention to the importance of critical materials, with TMC's project potentially addressing a global market valued at $20 trillion.
President Trump's actions also played a role. His threat to escalate the trade war on Friday led to a sell-off in TMC's stock market shares. However, a weekend post hinting at de-escalation sparked a 'risk-on' rally, including TMC's shares, on Monday.
Despite the optimism, TMC remains a high-risk investment. The company does not yet produce rare earths and has not started operations, awaiting permits from the International Seabed Authority. Moreover, it has not generated any revenue so far in 2025. However, investors seem undeterred, with TMC's etrade gaining a staggering 855% this year.
TMC's stock rallied on Monday, driven by geopolitical factors and the potential of its deep-sea mining project. While the company's high risk profile is acknowledged, investors have shown confidence, with shares soaring this year. The spotlight on critical materials, due to the U.S.-China trade war, has further fueled interest in TMC, with many using platforms like tradingview to monitor its progress.
