The Beach Energy (ASX:BPT) share price is trading at an 11-week high. Here's why

Here's what might have sent the energy producer's shares higher today.

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Key points

  • The Beach Energy share price is trading at $1.455 right now – the highest it's been since October
  • Its gains come as Brent crude futures hit a 3-year high
  • The ASX 200 energy sector is one of the market's top performing sectors on Monday

The Beach Energy Ltd (ASX: BPT) share price is having a roaring day despite no news having been released by the company.

Though, it's not alone in its gains, with the price of oil likely bolstering many of its peers.

At the time of writing, the Beach Energy share price is $1.455, 3.93% higher than its previous close.

For context, the S&P/ASX 200 Index (ASX: XJO) is currently up 0.34%.

Let's take a look at what might be driving the oil and gas producer's shares higher on Monday.

What's caused the Beach Energy share price to rally today?

Beach Energy's stock is trading at levels not seen since October as the price of oil surges higher.

According to data from CNBC, Brent crude futures are currently trading at US$86.20 per barrel – a 0.16% gain.

Additionally, the commodity hit a new 3-year high of US$86.71 earlier today.

Meanwhile, West Texas Intermediate is up 0.48% at US$84.22 a barrel.

That's on top of their 1.9% and 2.1% respective gains recorded at the end of last week.

While the price of oil likely hasn't directly impacted Beach Energy's stock, it might have bolstered sentiment for its earnings.

Of course, the company's incomes are directly tied to the commodity's price.

That sentiment might also be lifting the S&P/ASX 200 Energy Index (ASX: XEJ). The sector is one of the ASX 200's best performers today, having gained 1.52% at the time of writing.

After Beach Energy's rally, its share price is one of the sector's best performers today.

It's been pipped by Whitehaven Coal Ltd (ASX: WHC) which has gained 4.29% at the time of writing. Worley Ltd (ASX: WOR) has also gained 2.98% today.

Interestingly, Beach Energy hasn't announced any price-sensitive news to the market since early November. Nonetheless, it has already gained 15% year to date.

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 Bruce Jackson.

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