Sell-Everything Markets Are Serving Up Healthier Doses of Panic

With stocks, bonds and crypto plummeting, inflation out of control and months of Federal Reserve tightening to come, it’s starting to feel like everything that can go wrong in financial markets is. Panic is in the air. For traders looking for a silver lining, that’s about the best that can be said.

The S&P 500 has fallen nearly 9% in three days, a bruising stretch that has left virtually nothing unscathed, including energy shares, the year’s best-performing group. Selling in bonds has accelerated, with the yield on 10-year Treasuries touching the highest since 2011, and two-year rates at the highest since the financial crisis. The cost to protect investment-grade debt from default soared and an ETF tracking that sector plunged to the lowest since March 2020.