Stock market today: Domestic equity indices opened lower on the first trading session of 2024 (Monday, January 1) after clocking a 20 per cent rise in 2023, aided by steady domestic inflows, the return of foreign inflows, strong domestic growth, steady earnings, and an easing global interest rate outlook.

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Last seen, the S&P BSE Sensex was down 0.11 per cent, or 80.27 points, at 72,159.99, and the NSE Nifty was down 0.06 per cent, or 13.55 points, at 21,717.85.

"As the New Year begins, it is a Goldilocks scenario for the economy and markets. The growth momentum in the economy is strong; 7 per cent GDP growth in FY24 is likely to be followed by around 6.7 per cent growth in FY25 with decent corporate earnings growth. The banking system is in the pink of health and all macroeconomic indicators are stable. Political stability after the general elections looks almost certain. From a global perspective, the US economy appears to be heading for a soft landing. The US 10-year bond yield at 3.87 per cent and the dollar index at 100.6 are tailwinds for the market. FPI inflows in 2024 are likely to be robust," said Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

Dr. Vijayakumar added that the concern, however, is that most of this good news is in the price; valuations are a bit stretched and above the long-term averages. So, the market is vulnerable to corrections from presently unknown risks. The broader market is overvalued; safety is in large caps.

Meanwhile, the Nifty Mid Cap 100 and Small Cap 100 opened in positive territory. The high beta Nifty Bank was down 0.23 per cent at 48.181.55.

BUZZING STOCKS

InterGlobe Aviation shares were up over a per cent on the BSE after OMCs slashed the price of ATF by a substantial Rs 4162.5 per kilolitre.

BHEL shares were up over 5 per cent after reports about the company being the best bidder for NLC India's thermal power project in Orissa.

Kaveri Seed Company shares were up over 6 per cent after the company, in its board meeting slated for January 5, considered the share buyback.

Dhampur Sugar shares were up over 5 per cent after the company's board considered a share buyback in its January 3 meeting.

Most major global markets are closed on the first day of the new year.

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