Why is the Woodside share price rising at its strongest rate in almost 6 months?

Rebounding oil and gas commodity prices are behind Woodside's leap into the green today.

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Key points
  • The Woodside share price is up more than 5% today to $32.745 and is poised to record its strongest gain in almost six months 
  • The company's shares are rising on the back of rebounding oil and gas commodity prices
  • Woodside's 52-week high is $39.58 per share 

The Woodside Energy Group Ltd (ASX: WDS) share price is ripping up the ASX 200 charts today.

The oil and gas giant's shares are up 5.02% to $32.745 in early afternoon trading and headed for their strongest daily gain in almost six months.

Woodside is currently the second-best performing share of the S&P/ASX 200 Index (ASX: XJO) today. Slightly ahead is ASX coal share New Hope Corporation Limited (ASX: NHC).

Woodside shares are rising due to rebounding oil and gas commodity prices.

The energy sector is the best performer of the 11 market sectors today. The S&P/ASX 200 Energy Index (ASX: XEJ) is up 4.1% at the time of writing.

Today's leap into the green is a welcome change for Woodside investors, who have watched their shares tumble in March.

At the market close yesterday, the Woodside share price was down 13.2% so far this month.

Let's take a look at what's happening.

A man in a hard hat puts his finger up to say 'number one' in front of an oil mine

Image source: Getty Images

What's pushing the Woodside share price higher today?

Brent crude futures are currently trading at US$74.98 per barrel.

The West Texas Intermediate (WTI) price is US$69.24 per barrel.

On Monday, Brent oil dropped to its lowest level in a year at US$70.12.

According to analysis from Trading Economics, oil prices are now rising as investors get over recent troubles in the global banking sector.

Top broker Goldman Sachs has a 12-month price outlook of US$94 per barrel for Brent crude futures.

A rebound in Chinese demand following the dumping of its COVID-zero policy is behind the outlook.

Also powering the Woodside share price soar today are rebounding gas prices.

The European benchmark shot up overnight, rising 7.82%, while British gas prices rose by 9.64%.

Oil and gas prices had been falling recently due to warmer Winter weather across Europe.

What is the 52-week high for Woodside shares?

The war in Ukraine has increased commodity prices, resulting in a boon for oil and gas companies.

The Woodside share price hit an eight-year high on 8 November 2022 at $39.58.

Annual general meeting coming up

Woodside has also announced this week it will hold its annual general meeting on 28 April in Perth.

Motley Fool contributor Bronwyn Allen has positions in Woodside Energy Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Goldman Sachs Group. 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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