Why all eyes are on the BHP (ASX:BHP) share price today

All eyes are on the iron ore giant as investors wait for more economic data.

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The BHP Group Ltd (ASX: BHP) share price is one to watch this morning. Investors will be keeping a close eye on the iron ore giant and its fellow ASX-listed peers throughout Wednesday’s trade.

Why is everyone watching the BHP share price?

The big news on Wednesday is the latest economic growth figures due out from the major banks. According to an article in the Australian Financial Review (AFR), many economists are set to upgrade their gross domestic product (GDP) forecasts on the back of surging iron ore prices.

Tuesday’s Reserve Bank of Australia (RBA) release was the catalyst here. Mineral exports soared higher in the March quarter which helped propel Australia’s current account surplus to $18.3 billion. The current account refers to a country’s trade balance, meaning Australia recorded a significant net trade surplus (i.e. more exports than imports).

The BHP share price will be one to watch today as investors digest the latest numbers. Shares in the iron ore giant edged 0.1% higher to close at $47.91 per share on Tuesday afternoon.

However, the company’s value has swelled 11.3% higher in 2021 alone. Fortescue Metals Group Limited (ASX: FMG) and Rio Tinto Limited (ASX: RIO) shares also climbed higher on Tuesday and are worth watching today.

That’s not to say that it has been all smooth sailing for the BHP share price in 2021. Shares in the iron ore giant struggled in May as they came off record highs last month.

According to the AFR article, Australia and New Zealand Banking Group Ltd (ASX: ANZ) economists are now tipping 2.1% GDP growth in the quarter. That’s a lot more bullish than the upgraded market consensus estimate of 1.5%.

Foolish takeaway

The BHP share price is one to watch in early trade. Evidence of a stronger than expected economic recovery continues to help prop up market sentiment.

Investors will be watching the latest economic data throughout the day for any signs of good news.

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Motley Fool contributor Ken Hall 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 Bruce Jackson.

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