Why is the AGL (ASX:AGL) share price having such a good start to the week?

Optimism around energy commodities might be sending the AGL share price higher today.

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The AGL Energy Limited (ASX: AGL) share price is in the green on Monday despite no news released by the company.  

At the time of writing, the AGL Energy share price is trading at $6.16, 1.32% higher than its previous close.

The energy company's not alone in its gains. Right now, the S&P/ASX 200 Energy Index (ASX: XEJ) is leading its peers with a 1.9% gain.

Topping the index is the Beach Energy Ltd (ASX: BPT) share price, which is boasting a 3.77% gain on Monday. That of Origin Energy Ltd (ASX: ORG) isn't far behind. It's gained 2.99% today.

Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is up 0.43%.

Let's take a look at what might be boosting ASX-listed energy shares higher on Monday.

Two fists connect in a surge of power, indicating strong share price growth or new partnerships for ASC mining and resource companies

Image source: Getty Images

AGL share price up alongside energy commodities

According to reporting by The Australian, Citi's head of Australian banks research, Brendan Sproules believes oil and gas prices will continue to be volatile.

Data from CNBC shows the US natural gas futures has gained 4.8% today and 42% since this time last month. It's currently sitting at US$5.53 per metric million British thermal units.

Additionally, oil prices have surged recently. The Brent crude futures price has gained 18% over the last 30 days to trade at US$85.93 per barrel. Right now, West Texas Intermediate oil futures is trading at US$84.40 per barrel, 23% higher than it was this time last month.

While AGL doesn't specifically deal in oil, surging oil prices generally spell good news for the energy sector.

Additionally, as The Motley Fool Australia reported earlier today, some banks are predicting oil supplies will reduce in coming years as governments and investors move towards more environmentally-friendly energy supplies. Due to the law of supply and demand, lessening oil production will likely boost oil prices in the long term.

It's possible the surge in energy commodity prices that could be boosting the AGL share price and the energy sector higher today, might be an ongoing boom.

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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