What began in securities linked to U.S. subprime mortgages has spread to a broad range of structured assets, conventional credit markets, and, to a lesser extent, equities. As a consequence, some of the world's largest financial institutions have recorded substantial losses, the cost of borrowing has increased, and the availability of credit has decreased.
More than seven months on, the end is not yet in sight, although it is safe to say that we have reached the end of the beginning of this turmoil.