The markets jumped up at the open today and held most of those gains into the close. SPX once again closed above support at $1294, up $5, and RUT closed at $766, up $1. Interestingly, RUT has yet to break the resistance set in late October last year. One other anomaly was the VIX, closing at 22.2%, up over one point on a positive, upbeat market day. That divergence worries me a bit. Today's upbeat day was a bit surprising after all of the downgrades in Europe and the negative news surrounding Greek debt refinancing. Are we becoming immune to news concerning European sovereign debt? Or is the stock market just too inexpensive to ignore at these prices? Many measures suggest multi-year low prices, such as the price/earnings ratio of the Dow Jones Industrials at a five year low of 11.9. While stock prices have been trending sideways, corporate earnings have been growing. This may be fueling the bullish sentiment that appears to hold this market up even in the face of negative news from Europe.

The Empire Manufacturing Index reported 13.5 for January, up significantly from the previous reading of 8.2. The PPI, industrial production and capacity utilization data will be reported tomorrow.

My Feb iron condor on RUT at 590/600 and 840/850 stands at a P/L of +$2,260 with position delta = -$33 and theta = +$73. I still have the Jan RUT 670/680 put spreads open.