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This is one of the worst financial crises in global markets. Many large
global banks and financial institutions have failed over the last few weeks.
Taking a cue from this financial crisis , stock markets across the world are
crashing. The domestic markets have fallen over 50 per cent in the last nine
months from their peaks seen during January this year. The Sensex dropped
from 21,000 to around 10,000 levels and the Nifty dropped from 6,500 to
3,200 levels.

The stock markets had a very steep fall during the last couple of weeks as
many large foreign institutional investors (FIIs) as well as domestic
institutional investors sold their equity
investment<http://economictimes.indiatimes.com/Features/Financial_Times/Measures_to_infuse_liquidity/rssarticleshow/3614022.cms#>.
FIIs sold equities to take out money in order to rescue their parent
institutions abroad.

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