Sensex, Nifty open higher as auto stocks fuel early rally; Tata Motors up 2%

Benchmark stock market indices opened higher on Friday as auto stocks surged in early trade, helping the markets gain some momentum.

The S&P BSE Sensex was up 323.12 points to 78,795.60, while the NSE Nifty50 gained 101.95 points to 23,852.15 as of 9:44 AM.

“Short-term bumps on the economic growth path will cause corrections and market volatility like what we are witnessing now. The strongest headwind for the market now is the FII selling triggered by strong dollar (dollar index staying above 108) and attractive.

US bond yields with the 10-year yielding 4.35%. A change in FII strategy from selling to buying will happen when macros indicate recovery in growth and corporate earnings,” said Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.