Nifty holds above 4100

CNBC-TV18s Managing Editor, Udayan Mukherjee - It’s been an up and down day for the market; just goes up a bit and comes off because people are on tenterhooks about the vote result which will come in tomorrow evening. Nobody wants to stick his neck out which is why volumes are low and it’s a flip flop kind of an activity which we are seeing since morning that too on a day when global markets have been very supportive. We are up barely 0.5% and even the midcap index is not gone anywhere, in fact the breadth has been bad.

Results have been coming in through the day as well so there have been some hits and misses there. But broadly pretty much what we expected to see in a range, volatile and low participation before the big event.

It’s fine that we are 80-90 points higher on the Sensex. If we close around these levels, I do not think it’s a bad outcome. The more you look at the market it seems like the people are generally veering towards the belief that the government might pull through this confidence vote otherwise the market would not have been here. Because there have been a couple of cracks which have opened up since morning and they have all been filled up and the market tends to bounce back. So the fact that it is holding around 13,700 or more than 4,100 for the Nifty, which is probably indicative of the fact that people are more hopeful than hopeless about tomorrow’s outcome. So it’s not a bad outcome.

Would you have expected to see a big major rally today? That would have been a little unlikely given that there is an event risk around so the low volumes are easily explained. But equally I do not think people are sticking their necks out right now before they see the result of what happens tomorrow. So pretty much inline with the expectations the way today’s trade has panned out and wouldn’t be surprised if the market strengthens a bit given that it hasn’t cracked so far during the day.