Australian energy stocks, known by their ticker AXEJ, have taken a significant hit, slipping by as much as 4%.

This decline represents their largest intraday loss since June 23.

The downturn is a reflection of oil prices dipping in early Asian trade because of the strengthening U.S.

dollar and profit taking in light of last quarter’s substantial gains.

Major companies within the sub-index like Woodside Energy (ASX:WDS) have experienced a similar decline with shares dropping as much as 4.2%, reaching its lowest level since July 11.

Meanwhile, shares of Santos (ASX:STO) dipped by as much as 4.6%.

This marked their largest intraday percentile loss since June 23.

Consequently, the sub-index has reached its lowest level since July 19 and is likely to record a third consecutive session of losses if the current trend continues.

Nevertheless, AXEJ has managed to increase 5.6% year-to-date as of the last closing.

The AXEJ index comprises a range of energy stocks from Australian markets.