The Woodside Energy Group Ltd (ASX: WDS) share price dropped 2.94% in trading on Monday.
The S&P/ASX 200 Index (ASX: XJO) oil and gas stock closed on Friday trading for $31.94 per share. Shares finished Monday's session trading at $31 apiece.
It's not just the Woodside share price that was under pressure today, mind you.
The ASX 200 fell 1.38% today. And energy stocks broadly underperformed, as witnessed by the 3.01% fall in the S&P/ASX 200 Energy Index (ASX: XEJ).
So, what's going on?
What are ASX 200 energy investors considering?
The Woodside share price slipped amid another retrace in crude oil prices over the weekend.
Brent crude oil is down 0.80%, currently trading for US$71.03 per barrel. That's the lowest level seen since December 2021.
Oil has had virtually the opposite reaction as gold has to the uncertainty embroiling the global financial sector over the past week and a half, with ASX 200 gold shares rocketing higher today.
Atop the banking crisis – sparked by the collapse of Silicon Valley Bank and the emergency takeover of Credit Suisse by rival UBS – the oil price has been under pressure on several other fronts.
First, investors remain concerned about a potential global recession knocking the stuffing out of energy demand.
Second, Russia has, against all odds, managed to maintain its oil exports despite a range of international sanctions in place to protest its invasion of Ukraine.
What's next for the Woodside share price?
A range of factors will determine how well, or poorly, the Woodside share price performs over the coming months.
And the oil price will be a key component.
On that front, most analysts continue to forecast significantly higher crude oil prices for the second half of 2023.
Goldman Sachs just revised its own oil forecast down from USS$100 per barrel Brent heading into 2024.
However, the broker still sees Brent crude trading for US$94 per barrel. That 32% upside from current prices would certainly help support Woodsides moving forward.
Woodside share price snapshot
Pressured by falling energy prices, the Woodside share price has dipped into the red, down 1.18% over the past 12 months.
