ASX 200 rebounds as Middle East fears cool

ASX shares are pushing higher as global tensions ease.

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The S&P/ASX 200 Index (ASX: XJO) is back in the green on Monday as investors take a slightly calmer view of the Middle East.

At the time of writing, the benchmark index is up 0.22% to 8,783 points.

It was a stronger move earlier in the day, with the ASX 200 rising as high as 8,822 points before giving back a large part of its morning gain.

The gains came after reports that the United States and Iran have agreed to pause recent attacks and return to talks over the Strait of Hormuz.

Oil prices are still higher, with crude trading around US$70.03 a barrel, up 1.16%.

US futures are also pointing higher, giving local investors a better lead after a choppy finish to last week.

Here are some of the ASX 200 shares helping keep the market in positive territory today.

Navy ship sailing at dusk.

Image source: Getty Images

Banks and healthcare shares lift the index

The big four banks are doing a fair bit of the work today.

Commonwealth Bank of Australia (ASX: CBA) shares are up 0.73% to $163.21, while National Australia Bank Ltd (ASX: NAB) shares are up 0.88% to $37.84.

Westpac Banking Corp (ASX: WBC) shares are also higher, rising 0.34% to $35.26, and ANZ Group Holdings Ltd (ASX: ANZ) shares are up 0.03% to $35.05.

Healthcare shares are giving the market another boost after a rough patch for parts of the sector.

CSL Ltd (ASX: CSL) shares are up 1.23% to $116.28, while Pro Medicus Ltd (ASX: PME) shares are 2.99% higher at $194.53.

Fisher & Paykel Healthcare Corporation Ltd (ASX: FPH) shares are also trading higher, rising 1.60% to $32.075.

Aristocrat Leisure Ltd (ASX: ALL) is another large-cap name helping the index, with its shares up 3.19% to $60.56.

But there are still plenty of losers

Even with the ASX 200 higher, there are still some large-cap shares holding it back.

Transurban Group (ASX: TCL) shares are down 4.55% to $14.69, making it one of the bigger drags on the index today.

BHP Group Ltd (ASX: BHP) shares are down 0.09% to $58.94, while Rio Tinto Ltd (ASX: RIO) shares are down 1.20% to $171.55.

Northern Star Resources Ltd (ASX: NST) shares are also under pressure, falling 1.89% to $20.20.

On the other hand, Fortescue Ltd (ASX: FMG) shares are moving the other way, rising 1% to $19.26.

What investors are watching now

Today's move is a welcome lift for the ASX 200, but the index is still up just 0.8% since the start of 2026.

The next test is whether the ASX 200 can hold onto its gain into the close.

If the banks and healthcare stocks keep pushing higher, the market should have a better chance of finishing in positive territory.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended CSL and Transurban Group. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has positions in and has recommended Transurban Group. The Motley Fool Australia has recommended BHP Group, CSL, and Pro Medicus. 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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