Mondayâs dead cat bounce in US indices didnât last long at all as they opened lower and continued to drop through the day with the Dow finishing down 140 points and the Dax losing over 150 points again. Once again, good news about the economy turned out to be great news for the greenback and bad news for stocks. Better than expected US non-manufacturing PMI and factory orders provided further evidence that the US economy continues to expand into summer, keeping the pressure on the Fed to accelerate taking away the stimulus that has helped to drive stock indices to record levels leaving them vulnerable to a liquidity correction just as we enter the worst time of the year seasonally for stocks. 21st Century Fox deciding to give up on trying to acquire Time Warner is another sign that froth and liquidity may be starting to dry up. Rumours that Russia could retaliate against Europe for recent sanctions through any number of measures running from the possible to the ludicrous flying around didnât help matters. With gold still well below $1,300, however, US data and speculation on how soon the Fed may need to act on interest rates remains the main driver for trading action. Asia Pacific markets remain vulnerable with their counterparts in other regions crumbling. Economic numbers from China later in the week may attract more attention than usual from traders looking for evidence to hold recent gains. More immediately, NZD and AUD may attract attention today around employment reports for New Zealand today and Australia tomorrow.