Santos share price dips amid sell-off rumours

The Santos Ltd (ASX: STO) share price is drifting lower in early afternoon trade on Monday.

At the time of writing, shares in the oil and gas are trading 1.4% lower at $7.74 apiece, despite no market-sensitive updates from the company.

In broader market moves, the S&P/ASX 200 Energy Index (ASX: XEJ) is 0.2% in the green while the S&P/ASX 200 Index (ASX: XJO) is 1.1% higher.

What’s up with the Santos share price?

Energy shares have caught a small bid today as Brent Crude oil advanced higher last week with the world oil benchmark now trading at US$91.2/Bbl.

This is after hitting lows of US$87/Bbl last week, amid fears of a global recession with central banks continuing to raise interest rates in a bid to combat inflation.

Geopolitical risks surrounding the conflict in Europe have also weighed in.

At the same time, Santos released a short update to the market today.

While not price sensitive, the company commented on media reports that large shareholder ENN Group International Investment Limited (ENN) was selling down its near 10% stake in the company.

“Santos notes media speculation today regarding a potential selldown by ENN of a 9.97%
stake in [the company],” Santos detailed today.

“ENN lodged a notice of ceasing to be a substantial shareholder in Santos with ASX on 22 April
2022, disclosing that their shareholding had dropped below 5%.”

Santos share price snapshot

The Santos share price has gained 23% year to date and 28% over the past 12 months.

Today’s trading activity sees the sideways trend continuing after bouncing from lows last month. The share price now trades back in range with June 2022 levels, as seen below.

The post Santos share price dips amid sell-off rumours appeared first on The Motley Fool Australia.

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More reading

• 5 things to watch on the ASX 200 on Monday
• Here’s why the ASX 200 could be set up for an almighty rally before the end of this horrible year for stocks
• Here’s why ASX 200 energy shares are diving lower today
• The Santos share price is under pressure today. Here’s why
• Why has the oil price been so volatile lately?

Motley Fool contributor Zach Bristow 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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