Sensex falls 362 pts, Nifty below 11,400 amid turmoil in financial space

The crisis at PMC Bank has led to fears amongst investors that the money of ordinary depositors will be blocked

The benchmark indices saw a bout of heaving selling on Tuesday on worries that bad loans might spike following the turmoil in some of the key non-banking financial companies (NBFCs) and real estate entities.  

Investors pulled out aggressively from banking and financial stocks, with Yes Bank, IndusInd Bank, and State Bank of India declining 23 per cent, 6 per cent and 5.5 per cent, respectively.

The fall in banking stocks triggered panic in the markets, with the Sensex plunging nearly 1,000 points from the day’s high. However, the indices managed to recoup most of the losses, as companies tried to assuage investors’