The S&P/ASX 200 Index (ASX: XJO) is having a healthy day of green ink so far this Tuesday. At the time of writing, the ASX 200 has gained a pleasing 0.74% and is back over 7,190 points. But those gains are nothing compared to what is happening with ASX 200 coal shares today.
Coal shares are on fire (in a good way) this session. Take Whitehaven Coal Ltd (ASX: WHC) — Whitehaven shares have put on an eye-popping 8.52% so far today, taking the company to $9.17 a share.
Yancoal Australia Ltd (ASX: YAL) shares are also performing strongly. This ASX 200 coal share is up 6.86% to $5.215 a share. New Hope Corporation Limited (ASX: NHC) is doing even better. New Hope shares have enjoyed a 7.81% rise so far this Tuesday to $5.80 a share.
ASX oil shares like Woodside Energy Group Ltd (ASX: WES) are also enjoying some pleasing rises this Tuesday. In fact, the S&P/ASX 200 Energy Index (ASX: XEJ) is currently the best-performing sector on the entire ASX 200 Index. It's up 2.39% at the time of writing.
So what's going on with coal today that is eliciting these stupendous gains?
Image source: Getty Images
What's lighting up ASX 200 coal shares today?
Well, it's hard to say. We are seeing some strong pricing in the coal markets themselves. Coal is currently trading at US$349.35 per tonne, up a meaningful 3.66% since last week. That will no doubt be helping to grease the wheels of ASX 200 coal shares today.
We have some other news that could be playing a role too. As my Fool colleague Brooke discussed this afternoon, the South American coal industry is reportedly battling blockades on coal transport rail lines.
The blockades are being conducted by a group of former employees at coal miner Cerrejon. It's possible this news is helping to lift coal prices and sentiment in coal miners due to potential supply issues.
So it could be a combination of these factors that is behind the rather extraordinary boost that ASX 200 coal shares are enjoying today. No doubt investors won't be complaining.
