The Hawsons Iron Ltd (ASX: HIO) share price had a horror day on the market today.
The explorer's shares opened at 65 cents and fell a whopping 23.08% through the day to close at 50 cents. For perspective, the S&P/ASX 200 Index descended 1.18%.
Let's take a look at what might have impacted the Hawsons Iron share price today.
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Iron ore prices plunge
The Hawsons Iron share price has been volatile in recent days. In today's trade, it dropped massively despite no price-sensitive news from the company.
It's likely that sinking iron ore prices could be impacting the company's share price. Singapore iron ore futures dropped 6.7% in global markets to US$128.75. Iron ore on China's Dalian Commodity Exchange also gravitated more than 5% on Friday after traders reacted to China's COVID-19 zero policy.
Shares of iron ore producers Fortescue Metals (ASX: FMG) and BHP Group Ltd (ASX: BHP) also dropped 5.76% and 1.26% respectively today. Meanwhile, the S&P/ASX 200 Resources Index (ASX: XJR) fell 1.89%.
Hawsons is exploring the Hawsons Iron Project near Broken Hill in New South Wales. This project received a three-year major project status renewal in March.
The company's share price soared nearly 59% between market close on 27 April and 2 May. Investors appeared to react positively to the quarterly report released on 29 April. The company reported a cash balance of $18.377 million. However, since the market close on 2 May, the company's share price has slipped 43%.
Hawsons Iron share price snapshot
The Hawsons Iron share price has exploded more than 1000% in a year and is up 233% this year-to-date.
In contrast, the benchmark S&P/ASX 200 Index (ASX: XJO) has returned less than 1% in the past year.
Hawsons has a market capitalisation of about $357.5 million based on today's share price.
