Which bank's collapse in September 2008 intensified the global stock-market crash?

Lehman Brothers’ collapse in September 2008 intensified the global stock-market crash.

Lehman Brothers filed for Chapter 11 bankruptcy protection on September 15, 2008. It was the largest bankruptcy filing in U.S. history at the time, with Lehman reporting hundreds of billions of dollars in assets. The firm had been heavily exposed to mortgage-related securities and had struggled as the U.S. housing downturn damaged those markets.

The failure shocked investors because Lehman was a major global investment bank with extensive trading and financial relationships. Credit markets tightened, confidence deteriorated, and stock markets around the world fell sharply. The event came during the wider global financial crisis, which had already included the rescue of Bear Stearns and the government takeover of Fannie Mae and Freddie Mac.

Lehman was not the sole cause of the crash. Excessive leverage, risky mortgage lending, complex securities, and fragile financial links had built up over years. Its bankruptcy became the crisis’s most recognizable turning point.