The almost hysterical selling by funds caused the crash of the benchmark Sensex by more than 536 points on Friday afternoon at Bombay Stock Exchange. According to the report, the BSE Sensex went down by 536.19 points and reached at 15,240.12 at 12 PM on Friday.

This is being said actually as the result of the plunging of most heavy weight stocks to mew lows. At the same time, the National Stock Exchange (NSE) index Nifty also went down by 173.10 points and reached at 4446.70 points.

The market experts are saying that this is the impact of the news coming from the global market regarding the selling by foreign and domestic funds. The selling started because of a major plunge reported in global stock markets such as NASDAQ, Dow Jones Industrial, Nikkei and Hang Seng.

The major fall in the NASDAQ index cause the sudden selling in the Asian stock exchanges too because the NASDAQ index is said to be the global window of major information technology stocks.

The report says that the NASDAQ index went down by 48.83 points at 2,599.34. At the same time, the second largest US stock index Dow Jones Industrial also went down by 311.50 points at 13,473.57.

However, the NSE broker Rajiv Malik, said that the fall is good for a healthy market as it would help in consolidating after the one-way rise to records. The intermediate trend is still intact and the support level is at 4300. Until 4300 is violated, there is no reason to worry.

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