Dragged mainly by banking and financial stocks, the domestic benchmark indices on Friday, witnessed a sharp fall during the afternoon session. Sensex fell by more than 300 points from the day’s high to close at 38,845.82 levels, down by 134.03 points or 0.34 per cent from its previous close. Nifty declined by 11.15 points or 0.10 per cent to settle at 11,504.95 levels.