VanEck Rare Earth and Strategic Metals ETF is trading 5.2% down as investors rotate out of cyclical, China-exposed rare earth and strategic metals names amid a broader risk-off environment.

  • The ETF is being hit by de-risking tied to higher-for-longer rate expectations and heightened geopolitical tensions.
  • This move extends a multi-day decline across metals and mining equities as market participants reduce exposure to cyclical assets.
  • Selling pressure is concentrated on producers and refiners of strategic metals amid the broader market shift.