Bear Market Descends on Global Stocks
- The MSCI All-World Index falls 20% from its May 2015 record
- Retreat is biggest since selloff during 2011 Europe crisis
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The yearlong decline in global equities that started with a selloff in energy became a full-blown bear market Thursday as a rout in bank shares extended losses in the broadest worldwide gauge past 20 percent.
The MSCI All-Country World Index slipped 1.3 percent, pushing its decline since May to 20 percent and marking the biggest retreat from risk since Europe’s sovereign debt crisis in 2011. Every industry has fallen since last year’s record high with decreases exceeding 25 percent in financial stocks and 30 percent in energy and commodities.