The jobs report disappointed traders before the bell this morning with an increase of 54k jobs while the market was looking for something closer to last month's +232k. The unemployment rate increased to 9.1%. The only glimmer of good news was the ISM Services Index, that came in at 54.6 for May, up modestly from April's 52.8. All of the major indexes closed lower today. SPX lost $13 to close at $1300 while RUT closed at $808, also down $13. Today's close on SPX takes us to a new low during this correction; but is it a correction or a new bearish trend? A close below $1300 will define a new lower trend line for the recent pull back that started on the first of May. RUT would have to drop below $800 to break through its lower trend line for this correction.

Trading volume declined from yesterday with 2.7 billion shares of the S&P 500 trading today. Trading volume declined 5% on the NYSE and was flat on NASDAQ.

I closed my Jun iron condor on RUT for a net gain of $2,216 on 20 contracts, or a 13% gain. That brings my condor trading account to a net gain of 23% in 2011 versus the S&P 500, up 4%. Our Jul RUT condor stands at a P/L of +$1,020 with delta = -$17 and theta = +$86. My 880/890 call spreads are now over one standard deviation OTM and the700/710 put spreads are over two standard deviations OTM.

Have a great weekend.