The markets opened up positively this morning, but afternoon trading took its toll. SPX rose as high as $1328, but pulled back to close at $1317, up $1. RUT lost $5 to close at $760. Trading volume was pretty flat with 2.9 billion shares of the S&P 500 trading today; Trading on the NYSE was up 9% but trading was flat on the NASDAQ.

Some cited existing home sales as the basis of today's strong open, but those came in at 4.62M for April, up modestly from March's 4.47M. Analysts expected 4.65M. The VIX dropped as low as 20%, but jumped back up in the afternoon to close at 22.5%.

My June iron condor on RUT stands at +$240 with position delta = +$57 and position theta = +$85. Are we bouncing back after this market correction, or is this just a pause before the next negative news flash comes from across the pond? I don't think the sovereign debt situation in Europe is anywhere near being resolved. So I am inclined to anticipate further declines at some point. Use caution.