This week has so far been one to forget for the Whitehaven Coal Ltd (ASX: WHC) share price. It has dumped 7.3% since Friday's close.
Its tumble follows on from last week's strong performance that saw the stock hit four all-time record highs, peaking at $11.04 on Friday.
But its winning streak came to an end yesterday when the Whitehaven share price tumbled 4.65% to close at $10.45 amid a dire day for the S&P/ASX 200 Index (ASX: XJO).
And it's back in the red today, down 2.82% to $10.15 at the time of writing after hitting an intraday low of $10.09. Meanwhile, the ASX 200 is posting a partial recovery, lifting 0.29%.
So, what might be going wrong for the coal producer this week? Let's take a look.
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What's weighing on the Whitehaven share price?
The Whitehaven share price is in the doldrums this week alongside the broader S&P/ASX 200 Energy Index (ASX: XEJ).
The sector is the biggest weight on the market on Tuesday, falling 1.23% while only two of its constituents are trading in the green. It also fell 1.15% on Monday.
Right now, Whitehaven is the energy sector's worst performer, while the share price of its coal-producing peer New Hope Corporation Ltd (ASX: NHC) is down 2.24%.
The two energy giants have benefited from surging coal prices this year. The black rock's value has soared amid Russia's invasion of Ukraine, which partially triggered the current European energy crisis.
Indeed, Whitehaven saw a record realised coal price of $325 a tonne in financial year 2022.
The crisis is expected to continue boosting coal prices in the near future.
However, Australia and New Zealand Banking Group Ltd (ASX: ANZ) analysts warn the commodity's value could face downwards pressure from increasing Chinese production, as my Fool colleague Monica reports.
Fortunately, the Whitehaven share price has a long way to fall before it reaches the long-term red.
The stock has gained around 270% so far this year. It's also nearly 200% higher than it was this time last year.
Comparatively, the ASX 200 has fallen 12% year to date and 8% over the last 12 months.
