ASX 200 energy shares rose 2.39% while the broader market tanked amid turmoil in the Middle East last week.
The S&P/ASX 200 Index (ASX: XJO) dropped 2.94% and closed at a 10-week low of 8,741.2 points.
Nine of the 11 market sectors fell into the red.
Let’s review.
Brent crude oil price jumps 12%
Brent crude, the international benchmark oil price, jumped 12% last week to above US$108Â per barrel on Friday.
West Texas Intermediate crude oil also leapt 12% to above US$103 per barrel.
US heating oil rose 12% and gasoline increased 5%.
The UK gas price jumped 15%, German gas rose 14%, and European gas increased 13%.
This occurred as the Iran-backed Houthis sought to take control of Saudi Arabia’s alternative oil export route.
The Strait of Hormuz, through which about 20% of the world’s oil and gas is shipped, has been effectively shut down since March.
Saudi Arabia, the world’s largest oil exporter and a US ally, has been exporting via the Red Sea and Strait of Bab el-Mandeb instead.
The Red Sea and the strait run alongside Yemen, where the Houthis are based.
The rebels seized a Yemeni port city called Mocha, and are now advancing toward other cities closer to Bab el-Mandeb.
While all this was happening, Iran and the US continued to exchange fire with no hope of a peace deal in sight.
The US-Iran conflict has helped push up inflation in Australia, the US, and other nations.
Last week’s oil price spike raised the chances of an interest rate rise in Australia and the US this month.
Traders rate the likelihood of a rate rise in both countries in September at 70%.
The US stock market also slumped last week, and American bond yields hit multi-year highs.
Australia’s 3-year government bond yield rose above 5% on Friday, the highest level in 15 years.
These were among the factors contributing to the ASX 200’s slump last week.
Energy shares led amid broader market downturn
The Woodside Energy Group Ltd (ASX: WDS) share price gained 3.24% to close at $32.86 on Friday.
The Santos Ltd (ASX: STO) share price ascended 4.63% to $8.59.
Ampol Ltd (ASX: ALD) shares edged 1.38% higher to $41.21.
The Viva Energy Group Ltd (ASX: VEA) share price jumped 4.83% to $3.04.
Karoon Energy Ltd (ASX: KAR) shares ripped 5.17% to close the week at $1.83.
Beach Energy Ltd (ASX: BPT) shares rose 2.33% to 88 cents apiece.
The Whitehaven Coal Ltd (ASX: WHC) share price increased 2.5% to $8.60.
Whitehaven shares were one of 9 ASX stocks upgraded by experts last week.
The New Hope Corporation Ltd (ASX: NHC) share price gained 3.77% to $6.33.
Uranium miner Paladin Energy Ltd (ASX: PDN) tumbled 12.14% to $10.28 per share.
The Boss Energy Ltd (ASX: BOE) share price fell 3% to $1.46.
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 sector | Change last week |
| Energy (ASX: XEJ) | 2.39% |
| Utilities (ASX: XUJ) | 0.51% |
| Industrials (ASX: XNJ) | (1.28%) |
| Financials (ASX: XFJ) | (2.33%) |
| Communication (ASX: XTJ) | (2.72%) |
| Consumer Staples (ASX: XSJ) | (3.48%) |
| A-REITÂ (ASX: XPJ) | (3.62%) |
| Healthcare (ASX: XHJ) | (3.77%) |
| Materials (ASX: XMJ) | (3.91%) |
| Consumer Discretionary (ASX: XDJ) | (4.73%) |
| Information Technology (ASX: XIJ) | (8.57%) |
Next week 33 ASX shares are set to trade ex-dividend.
The post Energy shares rose while the ASX 200 slumped last week. Here’s why appeared first on The Motley Fool Australia.
Wondering where you should invest $1,000 right now?
When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*
Scott just revealed what he believes could be the ‘five best ASX stocks’ for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right nowâ¦
* Returns as of 1 August 2026
.custom-cta-button p {
margin-bottom: 0 !important;
}
More reading
- 2 ASX dividend gems I’d buy today for $10,000 a year in passive income
- Here are the top 10 ASX 200 shares today
- 9 ASX shares just upgraded by the experts
- ASX 200 tumbles to a 2-month low and wipes out its 2026 gains. What on earth is going on?
- $10,000 invested in Santos and Woodside shares 3 years ago is now worthâ¦
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.