The Whitehaven Coal Ltd (ASX: WHC) share price is roaring upward on Tuesday despite the companyâs silence.
Right now, stock in the S&P/ASX 200 Index (ASX: XJO) coal miner is 8.05% higher at $9.13.
For comparison, the ASX 200 has gained 0.59% at the time of writing.
So, what might be driving the coal favourite higher? Letâs take a look.
What’s driving the Whitehaven share price higher today?
The Whitehaven share price is among the top performers on the ASX 200 on Tuesday amid soaring coal prices.
Newcastle coal futures lifted 3.66% in its most recent session, potentially helping to drive the S&P/ASX 200 Energy Index (ASX: XEJ) higher. Right now, the energy sector is leading the market with a 2.3% gain.
Whitehaven stock is posting the sectorâs biggest gain right now, slightly ahead of the 7.4% lift recorded by shares in fellow coal stock New Hope Corporation Limited (ASX: NHC). Meanwhile, stock in ASX 200 coal miner Coronado Global Resources Inc (ASX: CRN) has risen 3.4%.
Itâs hard to determine what might be driving coal prices higher. Though, it might have something to do with blockades on a rail line in South America.
The blockades are halting the transport of coal from mining giant Cerrejon on its way for export, Reuters recently reported. A group of former workers are behind the protest activity. Theyâre said to be demanding their jobs back.
Todayâs gains included, the Whitehaven share price is a whopping 229% higher than it was at the start of 2022. It has also gained 278% since this time last year.
The post Why is the Whitehaven share price soaring 8% on Tuesday? appeared first on The Motley Fool Australia.
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More reading
- Here are the top 10 ASX 200 shares today
- Why Liontown, Lovisa, Myer, and Whitehaven Coal shares are pushing higher
- Time to buy? Which ASX 200 shares are trading on single-digit P/E ratios?
- Here are the 3 most heavily traded ASX 200 shares on Friday
- Whitehaven share price: ‘incredibly expensive’ or ‘ridiculously cheap’?
Motley Fool contributor Brooke Cooper 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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