S&P/ASX 200 Index (ASX: XJO) mining shares are in the green in early afternoon trade.
While the ASX 200 is down 0.2%, the BHP Group Ltd (ASX: BHP) share price is up 0.4% to $45.22 per share.
Meanwhile, rival ASX 200 mining share Rio Tinto Limited (ASX: RIO) has gained 1.4% today while Fortescue Metals Group Limited (ASX: FMG) shares are up 0.5%.
Why are ASX 200 mining shares bucking the wider selling trend?
BHP, Rio Tinto and Fortescue all look to be receiving some tailwinds from a 2.8% boost in iron ore futures, which The Australian reports have lifted to US$130 per tonne.
This will come as welcome news to investors in the big miners, who've watched their share prices come under pressure as the iron ore price has trended sharply lower over the past month.
In early April, iron ore was fetching over US$160 per tonne.
The industrial metal has come under pressure on two fronts.
First, a hawkish US Federal Reserve has sent the US dollar soaring higher. With iron ore priced in US dollars on international markets, a rising dollar has sent the price lower, crimping the profit margins of ASX 200 mining shares.
Second, demand for iron ore from China – the top destination for Aussie iron ore – remains sluggish. That's partly due to steel output limits put in place by the government. And likely partly due to a slowing Chinese economy as the nation places millions in lockdown to combat COVID-19 in its continuing zero-virus policy.
How have the mining giants been performing?
As you'd expect with the sharp decline in iron ore prices over the past month, all three of the ASX 200 mining shares we've covered above have slipped since 11 April.
The BHP share price is down 12.6%; the Rio Tinto share price is down 11.1%; and the Fortescue share price has fallen 9.3% over the month.
By comparison, the ASX 200 is down 6% during that same period.
