I guess the market is convinced there is little more in the way...

I guess the market is convinced there is little more in the way of QE to be expected from the FED, US dollar index strengthening some 8% from last month. Thing is if deflation becomes a risk, it guarantees QE (certainly suspect the FED will do anything to try and prevent deflation), seems impossible to see where it'll be months down the track.

Be very interested to see the RBA move today, and even though a rate cut is priced into the market, I'm pretty sure the AUD will sell down further on any news of a rate cut.

Curious about the US debt situation, on the one hand there's talk of debt repayment causing deflation, but their debt situation doesn't seem much better than Europe (who clearly aren't experiencing deflation). Sure they can avoid default by printing money, but obviously this is inflationary. It's almost as if the debt situation is bad but manageable, deflation, but if situation is really bad, inflation. So sentiment could change at the drop of a dime.