The S&P/ASX 200 Index (ASX: XJO) is finally having a better day on Thursday, although it has already given back some of its early gains.

At the time of writing, the ASX 200 is up 0.39% to 8,730 points after climbing as high as 8,787 points earlier in the session.

That puts the index a little further away from Tuesday’s intraday low of 8,657 points, but there’s still plenty of damage to repair.

The benchmark remains down 4.22% over the past month, while trading around 6% below its 52-week high of 9,296 points.

So, is this another short-lived bounce or can the rally keep going?

Bank shares drive the rebound

The big four banks are doing plenty of the work today.

Commonwealth Bank of Australia (ASX: CBA) shares are up 1.29% to $153.49, while National Australia Bank Ltd (ASX: NAB) shares have climbed 1.96% to $38.77.

Westpac Banking Corp (ASX: WBC) shares are 1.63% higher at $34.99, and ANZ Group Holdings Ltd (ASX: ANZ) shares are up 1.78% to $37.67.

There is some help coming from healthcare as well, with CSL Ltd (ASX: CSL) shares rising 1.41% to $176.86.

The gains are reasonably widespread, too.

At the latest check, 109 ASX 200 stocks are rising, compared with 84 falling and 7 unchanged.

The next few sessions will tell us more

Today’s bounce is encouraging, but I’d be a little careful about reading too much into one session just yet.

Wall Street finished lower overnight after the US Federal Reserve raised interest rates by 25 basis points to a range of 3.75% to 4%.

It was the Fed’s first-rate hike since July 2023.

The Dow Jones Industrial Average Index (DJX: .DJI) fell 1.21%, while the S&P 500 Index (SP: .INX) dropped 0.45%.

The Fed also left the door open to further rate hikes as it continues trying to get inflation back towards its 2% target.

There is plenty happening locally as well.

The RBA cash rate is currently 4.35% after three hikes in 2026, with its next interest rate decision due on 29 September.

Energy stocks are also weighing on the market today as oil prices pull back.

Woodside Energy Group Ltd (ASX: WDS) shares are down 1.95% to $32.62, while Santos Ltd (ASX: STO) shares have fallen 2.92% to $8.48.

Foolish takeaway

Today’s rebound is a welcome change, but I don’t think it tells us much on its own.

The ASX 200 was more than 1% higher earlier this morning before giving back a decent chunk of that gain. That shows buyers are not completely in control just yet.

I’d be more interested to see whether the index can string together a few positive sessions and work its way back above 8,800 points.

The post ASX 200 rebounds from recent lows. Is this just another false start? appeared first on The Motley Fool Australia.

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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. The Motley Fool Australia has recommended CSL. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The S&P/ASX 200 Index (ASX: XJO) has climbed higher again on Thursday morning, up around another 0.5%. The increase is great news after the index suffered consecutive declines over the past month. And now many investors are focused on ASX 200 shares that can continue climbing higher from here.

Here are three ASX 200 shares that broker forecasts suggest could jump up to 40% over the next 12 months.

Qantas Airways Ltd (ASX: QAN)

The ASX 200 airline shares were smashed lower earlier this year as conflict in the Middle East and rising fuel prices put airlines under pressure. There was a brief rebound around July, but recent renewal of geopolitical tensions has seen the share price tumble again over the past month.

Jet fuel (refined from crude oil) is the highest operating cost for airlines. That means that when oil prices increase amid tight supply and geopolitical tensions, jet fuel prices also jump. And this means that airlines, such as Qantas, face higher operating costs.

But despite the higher fuel costs, the company expects to see unit revenues grow by 8% to 10% in the first half of FY27.

And the experts appear to be bullish that the ASX 200 shares could be a turnaround story for FY27. Market Index data shows all brokers have a strong buy rating on Qantas shares. And the $11.31 average target price implies a potential 30% upside at the time of writing.

Paladin Energy Ltd (ASX: PDN)

Paladin Energy shares are rebounding on Thursday after a steep selloff over the past week.

The decline is likely due to a number of factors. These include geopolitical uncertainty and a drop in confidence for ASX uranium shares.

Renewed conflict in the Middle East, higher inflation data, and concerns about more interest-rate rises has seen some investors reduce their exposure to higher risk shares.

But despite the latest investor loss of confidence and share price declines, it looks like the experts are still very bullish about the outlook for Paladin Energy shares over the next 12 months.

Market Index data shows the majority of brokers still have a buy rating on the ASX 200 shares. At the $12.83 average target price implies an upside of around 35% at the time of writing.

CAR Group Ltd (ASX: CAR)

Shares in the ASX 200 technology company, which runs online global marketplaces for cars, motorcycles, boats and commercial vehicles, have tumbled around 20% over the past month.

The company has been hit by broad market volatility and investors taking their gains off the table after a rally following its FY26 results last month.

CAR Group’s FY26 results overall were positive. It reported FY26 revenue of $1.253 billion, up 6%, and NPAT of $314 million, up 14% on the prior year. Reported adjusted EBITDA was up 8% to $667 million. 

And looking ahead to FY27, CAR Group said it expects revenue growth of 11% to 14% and adjusted EBITDA growth of 10% to 13% on a constant currency basis. The company also plans for high single-digit revenue growth in Australia and double-digit growth in North America, Latin America and Asia.

The shares spiked around 10% on the day of the announcement, but have since tumbled back towards an annual low. 

But broker forecasts suggest the selloff was overdone and that the shares have the potential to rebound in the near future. Market Index data shows all brokers have a strong buy rating on the ASX 200 shares. And the $33.64 average target price implies an upside of around 40% at the time of writing.

The post 3 ASX 200 shares forecast to fly 30% to 40% higher appeared first on The Motley Fool Australia.

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• These are the 10 most shorted ASX shares

Motley Fool contributor Samantha Menzies 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 recommended CAR Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

Shares in Echo IQ Ltd (ASX: EIQ) jumped more than 10% after the company said it believed there was a “clear path” to obtaining regulatory approval in the US for its EchoSolv HF technology.

US roadblock not a dead end

Echo IQ shares fell almost 50% last week when the company revealed that the US Food & Drug Administration had issued a Not Substantially Equivalent determination for the company’s application for the approval of clinical use of EchoSolv HF.

But the company, having reviewed the situation, said on Thursday that work was underway with regulatory consultants and legal counsel about attaining regulatory approval.

The company said it “believes there is a clear path forward to obtaining FDA clearance for EchoSolv HF and it’s progressing this as a priority”.

The company added that the approval could be granted “over the coming quarters”.

Echo IQ said regarding the issue:

Following a review of the FDA’s feedback, the Company considers the matters cited to be limited to aspects of statistical analysis supporting the clinical validation. The Company’s assessment has not identified concerns relating to the underlying technology or core functionality of the EchoSolv HF device, and Echo IQ remains confident that clearance remains achievable under the 510(k) route. Echo IQ has identified multiple potential pathways to progress EchoSolv HF towards FDA clearance, including an administrative appeal of the NSE determination, seeking review through the FDA Ombudsman, or submitting a new 510(k) application.

The company said the timelines for an administrative appeal were not strictly defined, “and, in certain circumstances, may be shorter than 90 days”.

Echo IQ added:

If the Company were to file an administrative appeal, it may result in the NSE determination being overturned, the FDA reopening its review and potentially providing clearance of EchoSolv HF, or the FDA requesting that the Company resubmit a 510(k) for clearance, providing clarity on the matters Echo IQ must address to resolve the FDA’s previously identified concerns and obtain clearance.

EchoSolv HF is software that aims to improve the identification of patients at risk of heart failure.

The company recently said it remained well-funded, with more than $105 million in cash.

Shares bouncing back

Despite falling sharply on the recent news, Echo IQ shares have still appreciated 128% over a 12-month period.

The company’s shares were 10.7% higher at 57 cents on Thursday. They have traded as high as $1.87 and as low as 16.5 cents over the past year.

The company is valued at $381.6 million.   

The post Shares surge as ASX biotech charts road to redemption appeared first on The Motley Fool Australia.

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Motley Fool contributor Cameron England 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 Scott Phillips.