USA Rare Earth (NASDAQ: USAR) stock rose 6.3% on news of a planned government “Project Vault” to stockpile $1 billion in critical minerals, including rare-earth metals, funded by $10 billion in loans from the U.S. Export-Import Bank and $1.7 billion in private funding.

Project Vault aims to prevent China from cutting off rare-earth metal supplies. USA Rare Earth may not benefit directly, but could potentially sell rare-earth metals into the stockpile through its Less Common Metals subsidiary in Britain.

While the news is positive, a 6% increase in USA Rare Earth stock may be premature. The Motley Fool Stock Advisor team did not include USA Rare Earth in their list of the 10 best stocks for investors to buy now, which could yield significant returns in the future.

Read more at Yahoo Finance: Why USA Rare Earth Stock Popped on Monday