The BHP Group Ltd (ASX: BHP) share price is on the move on Monday while the broader market also recovers.
At the time of writing, shares in the world's largest miner are up 4.17% to $41.69.
For context, the S&P/ASX 200 Index (ASX: XJO) is 1.91% higher to 6,704.5 points at the time of writing.
Let's take a look at what's causing the miner's shares to race past the benchmark ASX 200 index.
What's up with BHP shares?
There are a couple of reasons as to why the BHP share price is heading north today.
First and foremost, the S&P/ASX 200 Materials Index (ASX: XMJ) is surging 2.55% to 16,039.8 points during early afternoon trade.
This represents a turnaround of more than 4% after the index hit a year-to-date low of 15,403 points last Friday.
Bearish sentiment impacted global markets from 8 June following investor concerns about a looming recession in the United States.
However, those worries have since been alleviated as the Federal Reserve indicated it will narrowly avoid an economic slump.
The turnaround in investor sentiment across the ASX has led other mining shares to also accelerate.
The Rio Tinto Ltd (ASX: RIO) and Fortescue Metals Group Ltd (ASX: FMG) share prices are up 2.85% and 4.34%, respectively.
Furthermore, the price for iron ore is fetching at US$116.50 per tonne. While down 10% in a month, there's hope China will provide additional stimulus packages to spruce up its economy. This comes after the Asian powerhouse experienced a fall in GDP growth following harsh COVID-19 lockdowns in its most populous cities.
In essence, the financial support from the Xi government appears to have created a floor price for iron ore.
BHP share price snapshot
Since the start of 2022, the BHP share price has continued to move in circles after choppy economic conditions.
The mining giant's shares are up 12.63% year-to-date, but down almost 3% in the past 12 months.
Listed as the biggest company on the ASX in terms of market capitalisation, BHP is approximately valued at $210 billion.
