Yields on Portuguese, Irish, Italian, Greek and Spanish debt have spiked since last December amid fears the highly-indebted eurozone countries may run into trouble financing themselves on the private market, raising the possibility of a major sovereign default, or more rescues.
Over the past year U.S. and European bank stocks traded pretty much in tandem -- until August that is. That's when European banks started to lag amid rising worries about their exposure to eurozone debt. But they have started to bounce back in recent weeks on optimism that various reforms likely to emerge at Friday's much-anticipated EU summit will prove effective in preventing any sovereign defaults.
As Europe's debt crisis has cascaded from its extremities straight into its heart it has sent shock waves ripping through global equity and bond markets. Here is a look at how the debacle has evolved over the past year.