Markets await impact of US slowdown

The key factor for investing in markets is the outlook for the US economy. After 10 years as the engine to robust economic growth, the wheels appear to be falling off. At the same time, spending in technology stalled and the mainstays of the long bull market, such as Cisco and Dell, downgraded their expectations. This had a dramatic effect on their share prices as they were trading on high multiples. In response to the deteriorating economic background, the Federal Reserve has responded by cutting interest rates by 1% in January, with further cuts expected. Europe has not yet su...