ASX 200 energy shares rise as global oil shock drags on

Energy stocks lifted but the ASX 200 fell 1.3% after investment tax changes were announced.

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ASX 200 energy shares outperformed last week, rising 2.66%, as the oil shock continued to plague the global economy.

Meanwhile, the S&P/ASX 200 Index (ASX: XJO) fell 1.3% to finish the week at 8,630.8 points.

The market turned pessimistic after changes to investment taxes were announced in the Federal Budget on Tuesday.

The changes contributed to the largest one-day fall in history for Commonwealth Bank of Australia (ASX: CBA) shares on Wednesday.

Five of the 11 market sectors finished the week in the red.

Let's review.

An oil worker on a tablet with an oil rig in the background.

Image source: Getty Images

What happened with ASX 200 energy shares last week?

The Brent Crude oil price shot 5.5% higher to US$107 per barrel last week as negotiations to end the Iran war stalled.

The Strait of Hormuz, through which about 20% of the world's gas and oil supply is shipped, remained effectively shut down.

On Friday, Trading Economics analysts said:

The key shipping route remains under a dual blockade that has emerged as a central obstacle in negotiations, with President Donald Trump saying the current ceasefire was on "massive life support" after dismissing Tehran's latest response to his peace proposal.

Meanwhile, the IEA reported that crude and fuel flows through the Strait of Hormuz dropped by around 4 million barrels per day in March and April, warning that the global oil market could stay materially undersupplied through October even if the conflict is resolved next month.

Meanwhile on the market, the Woodside Energy Group Ltd (ASX: WDS) share price rose 3.99% to close at $31.25 on Friday.

The Santos Ltd (ASX: STO) share price lifted 4.79% to $7.88.

The Ampol Ltd (ASX: ALD) share price rose 2.49% to $35.05.

The Viva Energy Group Ltd (ASX: VEA) share price lifted 2.7% to $2.28.

Karoon Energy Ltd (ASX: KAR) shares ascended 6.63% to close the week at $2.09.

Beach Energy Ltd (ASX: BPT) shares swung 2.31% higher to $1.11 apiece.

ASX 200 market sector snapshot

Here's how the 11 market sectors stacked up last week, according to CommSec data.

Over the five trading days:

S&P/ASX 200 market sectorChange last week
Energy (ASX: XEJ)2.66%
Materials (ASX: XMJ)1.75%
A-REIT (ASX: XPJ)1.49%
Utilities (ASX: XUJ)1.35%
Consumer Discretionary (ASX: XDJ)0.75%
Industrials (ASX: XNJ)0.07%
Communication (ASX: XTJ)(0.18%)
Information Technology (ASX: XIJ)(2.3%)
Consumer Staples (ASX: XSJ)(2.54%)
Financials (ASX: XFJ)(4.32%)
Healthcare (ASX: XHJ)(8.06%)

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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