Market is making very little gains on petered out liquidity rallies

The dow still rangy, economic reporters upbeat (by the close of Tuesday 20th US markets, you would have thought the dow made new highs, but it only musted up 25 points ) but in the meantime the EUR has been absolutely slaughtered in the last 24hrs

refer to graph:



What does this all point to? Nervousness and uncertainty, especially Sovereign risk and contagions, yes the US can print money and sustain equities (to a degree) but this will eventually wane on risk averse trading environments. Also one should watch China on significant slowdown
in 2010.