MUMBAI: Equity benchmarks as well as broader markets shed more than a percent on Tuesday, tracking sharp fall in Chinese markets and further decline in crude oil prices. More profit booking by investors also triggered sell-off in the market.

The 30-share BSE Sensex closed below the psychological 28000-level, down 322.39 points to 27797.01, continuing for the third consecutive session and hitting a one month low. The 50-share NSE Nifty slipped way below the 8400-mark (support level, say experts), down 97.55 points to 8340.70.

Meanwhile, the BSE Midcap and Smallcap indices shed 1.6 percent each on profit booking. Experts feel the current fall may be extended by upto 5-6 percent but one should buy on every dip as they are bullish on market. Sanjay Sinha of Citrus Advisors said the market should have consolidated much earlier. In the absence of a trigger for the bond market, which hinges on a rate cut by Reserve Bank, the market will remain in consolidation phase till third quarter numbers start coming out, he said.

If October-December quarter (Q3) results are better than the previous quarter, and if market sees a burst of liquidity, then it will find momentum which will loftily go ahead till Budget. Real correction, of around 10-15 percent, will happen after Budget, Sinha suggested. Globally, Asian markets closed lower with the China's Shanghai down 5.4 percent on profit taking amid expectations of weak GDP in 2015 and liquidity fears.