The Spanish IBEX 35 is getting absolutely destroyed this morning, after starting the day on a positive note.

It's now down nearly 2.6 percent. The Italian FTSE MIB is not far behind, down nearly 2 percent. Surprisingly, the CAC 40 is holding onto early gains despite some dismal PMI numbers—it's still in the green for the day at 0.5 percent higher.

UPDATE: The IBEX 35 extended losses right after today's dismal U.S. ADP jobs report, and is now off a full 3 percent.

Both the CAC 40 and the German DAX remain in the green.

UPDATE II: Italy is catching up to Spain on losses, as rumors about an imminent downgrade of its banks fuels a sell-off.

The FTSE MIB is now off more than 2.7 percent. The IBEX is now off 3.2 percent.

Check out the IBEX 35 today: