Nifty closes below 3850

CNBC-TV18’s Managing Editor, Udayan Mukherjee - The closing is not as bad as it threatened to be half an hour back. We went down all the way to sub-3,800 levels and are going to close at 3,840 or thereabouts. Maybe the averages of the last half hour will get it back closer to 3,820-3,825. It is still closing below 3,850, which people have been watching out for very closely. The Sensex will also close above in the red, though just about now at 12,600 odd.

The last tick came in on the Nifty at 3,842 but I suspect we may see the averages being lower, at least 3,830 or something like that. The Sensex too will drift down closer to that 12,600 mark.

This is the first closing in 15 months below that 3,850 mark and more importantly because it has been holding out as a support level. It is a few points here or there but even so that level has been decisively broken on a closing basis. The Sensex too has violated the 12,800 mark, which it did yesterday as well.

The midcap index closes down 1.2%, which is not very good. The market breadth 380 to 870 is not very good either. So, another bad day out there for the market. There was just a little bit of short covering respite towards the end.