The BHP Group Ltd (ASX: BHP) share price is in the red on this last trading day of June.
Shares in the S&P/ASX 200 Index (ASX: XJO) mining giant closed yesterday at $43.15. In morning trade on Friday, shares are swapping hands for $42.86, down 0.7%.
As for the month almost past, shares in the ASX 200 miner closed out May trading for $44.51.
With less than one full day of trade left in the month, the BHP share price is down 3.7% in June.
For some context, the ASX 200 is up 1.3% over this same period.
Here's what's been happening.
What pressured the BHP share price in June?
With no price-sensitive announcements released over the month, the underperformance of the BHP share price is largely due to the retrace in iron ore and copper prices.
Iron ore, BHP's number one revenue earner, ended May trading for US$117 per tonne. Today that same tonne is trading for US$106 per tonne, down 9% in June.
The steel-making metal came under renewed selling pressure over the month amid ongoing weakness in China's economy. China's struggling, steel-hungry property market remains a core of that concern, with the government's stimulus measures to date failing to reignite the sector.
With iron ore inventories rising in the Middle Kingdom, prices fell, and investors responded by bidding down the BHP share price.
Copper, BHP's number two revenue earner, wasn't spared either.
The copper price ended May at US$10,135 per tonne and dropped 6% in June to currently be trading for US$9,516 per tonne.
On the copper front, BHP will need to look for new avenues to become the largest copper miner on Earth. Investors learned at the end of May that the ASX 200 miner's $74 billion takeover bid for global miner Anglo American (LSE: AAL) would not proceed.
On 30 May, following Anglo's rejection of BHP's third sweetened bid, BHP CEO Mike Henry closed the door on further negotiations.
What else happened in June?
On 12 June, investors were alerted to legal action being taken by the Mining and Energy Union (MEU).
The MEU filed applications with the Fair Work Commission regarding BHP's Peak Downs, Saraji, and Goonyella Riverside coal mines. The union is seeking pay rises for 1,700 labour-hire workers at the coal mines based on the "same job, same pay" orders.
The BHP share price closed down 0.6% on the day.
The race for the biggest ASX company
When the iron ore price topped US$200 per tonne in November 2021, the BHP share price joined in the rally.
This saw the ASX 200 miner overtake Commonwealth Bank of Australia (ASX: CBA) as the biggest company listed on the ASX.
But June saw BHP's lead shrink to the point where analysts began speculating that CBA could once more take the crown.
With the CBA share price up 28% over 12 months, Australia's biggest bank has a current market cap of $213.3 billion.
And with the BHP share price down 6% over 12 months, the ASX 200 miner has a current market cap of $217.3 billion.
The race is on.
