Why ASX 200 shares are at a 6-week high

ASX 200 shares including Afterpay Ltd (ASX: APT) and Webjet Limited (ASX: WEB) surged higher on Tuesday as the index hit a 6-week high.

| More on:
rising ASX share price represented by paper plane made from news paper

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

ASX 200 shares got off to a flier this week after a strong day of trade on Tuesday. The S&P/ASX 200 Index (ASX: XJO) closed up 0.8% at 6,885.9 points as a number of sectors saw strong gains.

Why are ASX 200 shares at a 6-week high?

There were a couple of big themes in Tuesday's trade. The morning session saw strong gains across resources, technology and more after the Easter break.

Several big-name shares led the benchmark index higher, including Cleanaway Waste Management Ltd (ASX: CWY) and Afterpay Ltd (ASX: APT). The Afterpay share price rocketed 10.0% higher to start the shortened trading week despite no new announcements.

Strong investor sentiment helped propel several big-name ASX 200 shares higher on Tuesday, but the second big factor came in the early afternoon.

New Zealand Prime Minister Jacinda Ardern announced a new trans-Tasman travel bubble at 2pm. That saw ASX travel shares rocket higher as investors reacted well to the news.

The new quarantine-free arrangement will come into effect on 19 April and marks an important step in a return to normality amid the coronavirus pandemic. Australia and New Zealand will stick to a traffic light system for the bubble to encourage travel between the two nations.

That's good news for the economy, with more jobs and economic spending likely to flow from the bubble arrangement. ASX 200 shares like Webjet Limited (ASX: WEB) and Qantas Airways Limited (ASX: QAN) surged higher on the back of the news.

That, combined with a strong start in the morning session, helped propel ASX 200 shares higher. The S&P/ASX 200 closed at 6,885.9 points – its highest point since Tuesday 16 February this year.

Foolish takeaway

Several sectors saw strong gains in a good start to the trading week today. A number of high-profile ASX 200 shares surged higher on the back of bullish sentiment and a big step forward for the travel industry.

Should you invest $1,000 in Australian Ethical Investment right now?

Before you buy Australian Ethical Investment shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Australian Ethical Investment wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Webjet Ltd. The Motley Fool Australia owns shares of AFTERPAY T FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

Person pretends to types on laptop drawn in sand.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a happy finish to the week for ASX shares this Friday.

Read more »

Five young people sit in a row having fun and interacting with their mobile phones.
Share Gainers

5 ASX All Ords stocks rocketing higher this week

Investors sent these five ASX All Ords stocks soaring this week. But why?

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Share Gainers

Why Boss Energy, Capstone, Dimerix, and Platinum shares are storming higher today

These shares are having a good finish to the week. Let's find out why.

Read more »

Fancy font saying top ten surrounded by gold leaf set against a dark background of glittering stars.
Share Gainers

Here are the top 10 ASX 200 shares today

It was the ASX's fourth day of gains for the week today.

Read more »

a man raises his fists to the air in joyous celebration while learning some exciting good news via his computer screen in an office setting.
Share Gainers

Why Cedar Woods, Healius, NextDC, and Platinum shares are charging higher today

These shares are rising on Thursday. But why are investors buying them? Let's find out.

Read more »

A bearded man holds both arms up diagonally and points with his index fingers to the sky with a thrilled look on his face over these rising Tassal share price
Share Gainers

These were the best-performing ASX 200 shares in April

These shares were in fine form in April. Let's see why they outperformed.

Read more »

Hiker man backpacker with hands up in the summer mountains with cloudy sky.
Share Gainers

Here are the top 10 ASX 200 shares today

The ASX made it three from three.

Read more »

Ecstatic woman looking at her phone outside with her fist pumped.
Share Gainers

Why Cedar Woods, Orthocell, PEXA, and St Barbara shares are storming higher today

These shares are having a good session on hump day. But why?

Read more »