European Stocks Crash Most 'Since Lehman', Enter Bear Market

European stock markets just suffered their worst decline since Lehman... Oct 2008 as the crude and Covid chaos rolls around the world...

Europe is now down over 22.5% - a bear market - from highs just 3 weeks ago...

Source: Bloomberg

The selling was absolutely across the board...

Source: Bloomberg

European banks crashed to their lowest since March 2009... but judging by EU bank credit, there's more to come...

Source: Bloomberg

And European credit is crashing...

Source: Bloomberg

German bonds were aggressively bid all day with two- and five-year yields dropping to -1%,

Source: Bloomberg

Gilt yields fall below 0% in two- and five-year segments, with BOE’s buyback seeing the institution buy at a sub-zero rate

Source: Bloomberg

But, Italian yields surged, rising 30bps in 2-year to 10-year segments.

Source: Bloomberg

Paging Christine Lagarde!!