S&P/ASX 200 Index (ASX: XJO) mining shares are dragging on the market on Friday, adding to their longer-term poor performance.
The S&P/ASX 200 Materials Index (ASX: XMJ) is currently the market’s second-worst performing sector behind the S&P/ASX 200 Energy Index (ASX: XEJ), slumping 1.14%. It’s also fallen around 13% over the last month.
Among today’s biggest weights are resources giants BHP Group Ltd (ASX: BHP), Fortescue Metals Group Limited (ASX: FMG), and Rio Tinto Limited (ASX: RIO). They’re down around 2.3%, 1.7%, and 1.6% respectively.
For context, the ASX 200 is trading 0.3% higher right now.
Let’s take a closer look at what might be dragging down ASX 200 mining giants on Friday.
What’s weighing on these ASX 200 mining shares?
ASX 200 mining shares are struggling on Friday after commodity prices dived overnight, marking an abysmal quarterly performance.
The value of zinc led the downturn, falling 6.2% in Thursday’s session overseas while that of nickel slumped 4.7% to US$22643.00 per tonne. Copper prices also fell 1.7% to US$8254.25 a tonne.
Those movements included, metal prices tumbled between 20% and 40% in the June quarter, according to CommSec. That led copper to record its worst quarterly performance since 2011.
Iron ore futures also continued its multi-session slump, falling 0.1% to reach US$130 per tonne.
Though, it’s not all bad news out of the sector this morning.
However, Forrest has since abandoned any such plans after failing to snap up the stake for $168 million, reports The Australian.