(Yicai Global) May 22 -- Shares of China's rare earth firms rocketed in the afternoon despite the otherwise dismal performance of the country’s stock markets. This unusual movement stemmed from the constantly surging price recently of the special metals of such widespread use in electronics and technology applications.

Jiangsu province-based rare earth producer China Rare Earth Holdings [HK:0769] had climbed 20.9 percent to HKD0.40 (5 US cents) by 3 p.m., while Jiaozuo Wanfang Aluminum Manufacturing [SHE:000612], a smelter based in eastern Henan province, hit the 10 percent limit up at CNY4.35 (60 US cents).

China's major benchmarks went lower for the third day in a row. The Shanghai Composite Index closed 1.89 percent down at 2,813.77. The Shenzhen Component Index was at 10,604.97, down 2.22 percent and the ChiNext Price Index, which tracks growth enterprises listed in Shenzhen, dropped 2.52 percent to 2,046.60.

Editor: Ben Armour