Stocks, oil decline worldwide

Stocks tumbled around the world, the euro fell to a 13-month low against the dollar and oil dropped below $90 a barrel as the yearlong credit market seizure caused bank bailouts to spread through Europe. Government bonds rallied.

Russia's Micex Index fell 15 percent, leading declines among benchmark stock indexes, before trading was halted. BHP Billiton Ltd slid 9.3 percent and UBS AG lost 10 percent as commodities producers and banks dropped the most in the MSCI World Index. The gauge of 23 developed countries is down 30 percent this year, the worst annual performance since at least 1970. The euro weakened more than 1 percent against the dollar after the German government and state banks were forced to pledge $68 billion to rescue Hypo Real Estate Holding AG. Crude dropped 39 percent from its record on July 11 as the global economy slowed. Investors seeking the safety of government bonds pushed yields on two-year Treasury notes to 1.5 percent, 50 basis points below the Federal Reserve's main interest rate.