SPX closed at $1407, down $2. This is slightly below the $1410 support level. It is probably too early to declare that support level broken, but it is something to watch at tomorrow's open. RUT traded as low as $816 but recovered to close at $822, up $1 on the day. Trading volume was flat to slightly up with 2.5 billion shares of the S&P 500 trading, up slightly from yesterday but still under the 50 dma. Trading on the NYSE was up 1% and volume was up 7% on NASDAQ. VIX moved up a half point to close at 17%.

There was no significant economic news today, but it probably would not have mattered anyway. Everyone in the market is focused on the fiscal cliff posturing. As far as I can tell, the negotiations have yet to start.

My Dec iron condor stands at a net loss of $3,960 with position delta = -$94 and position theta = +$214. Tomorrow's ADP report may give us a preview of Friday's jobs report, but, absent an extreme surprise, I doubt that it will move the markets much. So grab your popcorn and watch the political fiscal cliff show. But remember: this is like professional wrestling, don't take it too seriously.