What event names the worldwide market collapse that followed Lehman Brothers’ failure in 2008?

The worldwide market collapse that followed Lehman Brothers’ failure in 2008 is associated with the global financial crisis.

The crisis grew from problems in the U.S. housing and mortgage markets, especially the expansion of risky subprime lending and the packaging of mortgage debt into complex securities. Falling house prices increased defaults and weakened financial institutions that held or insured mortgage-related assets.

Lehman Brothers filed for bankruptcy on September 15, 2008. Its failure intensified fear about counterparty risk and credit markets, contributing to severe falls in stock markets around the world. Governments and central banks responded with emergency lending, bank rescues, guarantees, and stimulus measures.

The global financial crisis is broader than the stock-market crash alone. It included a banking crisis, a credit freeze, a recession, and a housing collapse. The later European sovereign-debt crisis was related but was a distinct phase of the wider post-2008 turmoil.