The Fortescue Metals (ASX: FMG) share price is tumbling today amid a tough trading day for ASX iron ore shares.
Fortescue shares are currently swapping hands at $19.57, a 6.05% fall. For perspective, the S&P/ASX 200 Index is 1.37% in the red today.
With no price-sensitive news released by the miner today, let’s take a look at what else might be impacting the Fortescue share price.
Iron ore futures plunge
Fortescue shares may be down, but it is not the only mining share on the ASX to plunge. The S&P/ASX 200 RESOURCES Index (ASX: XJR) is down 1.86% today.
Overseas, Singapore iron ore futures dropped 6.7% to US$128.75, The Australian reported.
China’s benchmark iron ore future on the Dalian Commodity Exchange also plunged 5.1% in late trade on Friday to 825 yuan per tonne, according to a Reuters report. China’s ‘zero-COVID-19‘ policy is reportedly causing traders to be more cautious.
The company reported a 10% jump in shipments to 46.5 million tonnes in the first three months of the year.
Fortescue share price snapshot
Despite a slide of nearly 15% over the past 12 months, the Fortescue share price has lifted almost 2% year to date.
Fortescue has a market capitalisation of more than $60 billion based on its share price today.
The post Why is the Fortescue share price sinking 6% on Monday? appeared first on The Motley Fool Australia.
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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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