The jobs report buoyed the markets at the open this morning, but it didn't take long for Europe's debt problems to bring us back down. Moody's downgraded Spain and Italy's debt and that tanked our markets. It is interesting when you think about it; five years ago, Italy could have fallen into the ocean and our markets wouldn't have noticed. But any news out of Europe these days is scrutinized very carefully - and, when in doubt, traders sell on the news. SPX lost $10 to close at $1155 and RUT closed at $656, down $18. It was a volatile day of trading as SPX traded down as low as $1150 in early afternoon trade, and then,  in the last hour of trading, ran up to $1169, near the day's high, and then collapsed back to the close at $1155. Many analysts were watching to see if SPX could break through the 50 dma at $1178, but it didn't even get close.

Trading volume dropped back a bit with 3.7 billion shares of the S&P 500 trading. Trading on the NYSE was up 3% and trading volume was down 7% on NASDAQ. My Oct iron condor on RUT stands at a P/L = -$1164 with position delta = -$2 and position theta = +$281. This condor is perfectly positioned with respect to price at this point with a large positive theta starting to ramp up. The Nov position stands at a P/L of +$300 with delta = -$16 and theta = +$100.

Have a great weekend.