Mumbai, March 19 -- The Nasdaq tumbled 304.55 points (1.7%) to 17,504.12, the S&P 500 slumped 60.46 points (1.1%) to 5,614.66 and the Dow slid 260.32 points (0.6%) to 41,581.31.

The Federal Reserve released a report showing industrial production in the U.S. increased by much more than expected in the month of January. The report said industrial production climbed by 0.7% in February after climbing by a downwardly revised 0.3% in January. The Commerce Department also released a report showing new residential construction rebounded by much more than anticipated in the month of February.

Airline stocks were significantly weak with the NYSE Arca Airline Index falling by 1.8%. Biotech stocks were considerably weak, resulting in a 1.9% slump ...