Sensex, Nifty open higher fueled by Asian markets; financials lead surge

Stock market news: Benchmark indices NSE Nifty 50 and S&P BSE Sensex kicked off Wednesday on a positive note, buoyed by a rally in Asian markets and bolstered by a surge in financial stocks. Additionally, real estate shares witnessed a significant uptick following robust earnings reported by Godrej Properties.

Nifty and Sensex opened close to half a point higher, at 22,045.05 and 72,548.50 respectively.

Market experts attribute this surge to the resilience of the ongoing bull market, which has demonstrated a remarkable ability to rebound from setbacks. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, highlighted this trend, stating, "A significant feature of the ongoing bull market is its ability to bounce back from dips. This makes the buy-on-dips strategy successful."

“The bounce back happening now is being led by IT and supported by autos and pharma even while Bank Nifty continues to decline. The fact that new leaders are emerging to take the market forward indicates that the uptrend is intact and new record highs are possible soon,” Vijayakumar said. 

"An area of concern is the excessive speculation in low-grade stocks where many are doubling in a few days. These excesses of a bull market warrant caution.
Investors should stay in the comfort of high-quality stocks," he added.

(With Reuters inputs.)