EDITORIAL: Industry awaits effect of US slowdown

The surprise decision of the US Federal Reserve to trim interest rates by half a per cent turned US advertising executives as pleased as they had been downcast before the reduction.

The surprise decision of the US Federal Reserve to trim interest rates by half a per cent turned US advertising executives as pleased as they had been downcast before the reduction.

But shares in giant groups such as WPP, Interpublic and Omnicom are already performing badly and the decline in US car sales is indicative of a falling consumer spending power that could prove infectious. Advertising will always be a sensitive barometer of the economy but the best agencies on both sides of the Atlantic are, slowdown or not, in fighting shape.



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