It started with the sudden cut in the US Federal Funds rate, which marked the first official acknowledgement of the unexpectedly sharp and sudden downturn in the US economy. The slowdown of the US growth juggernaut after almost a decade of exceptional growth had a profound effect on most countries and regions.
Initially there was a widespread belief that the euro area would be insulated from the fallout, given the high levels of intra-regional trade. It soon became clear that this optimism was misplaced, and that Europe would not replace the US as the locomotive for world growth. Not surprisingly, most emerging markets followed soon after.