BUZZ - Citi optimistic about rebound in commodity prices, Australian energy stocks surge

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October 13 - ** Australian energy stocks .AXEJ rose as much as 1.9%, reaching the highest level since September 18

** The stock is set for its best single-day performance since October 2

** Driven by rising oil prices, energy stocks advanced as the impact of the attack on Saudi Arabia overshadowed expectations of increased supply O/R

** Industry leaders Woodside Energy (WDS.AX) and Santos (STO.AX) gained 2% and 2.6%, respectively

** Citi believes there is upside for Australian natural gas companies as the “positive” commodity price environment in the September quarter supports growth

** The brokerage expects energy giants Woodside Energy (WDS.AX) and Santos (STO.AX) to achieve double-digit core earnings growth in calendar year 2026

** It is expected that STO’s Barossa and Pikka projects will generate free cash flow growth, and noted that Woodside Energy (WDS) is taking advantage of high global gas prices, with investors currently closely watching the smooth execution of the company’s Scarborough project coming online

** So far this year, the energy sub-index .AXEJ has risen 31.5%

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