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Acacia leads optical stocks higher after Trump tweets of desire for a ZTE lifeline

Shares of Acacia Communications Inc. ACIA, +1.74% and other optical names are indicating sharply upper in premarket trading after President Donald Trump this weekend tweeted that he was once working with China to search out Chinese smartphone maker ZTE Corp. "a way to get back into business, fast." A couple of weeks in the past, Trump's management blocked U.S. companies from selling to ZTE for seven years, alleging that ZTE failed to reprimand employees after violating Iran sanctions. Acacia generated 30% of its earnings from ZTE ultimate yr. Shares of fellow optical names Lumentum Holdings Inc. LITE, -0.39% Oclaro Inc. OCLR, -0.12% NeoPhotonics Corp. NPTN, +0.00% and Finisar Corp. FNSR, -0.54% are also trading upper premarket on optimism for a ZTE lifeline. Shares of those companies and Acacia bought off in mid-April after the ban was once first announced.