Heavy Hand

I close my eyes
Oh God I think I'm falling
Out of the skies, I close my eyes
Heaven help me
--Madonna

The SPX wound up taking out the aforementioned 1600 support level and closed near the lows at -2.5% on big volume. The Dow was down 354. Treasuries never mustered a rally, which may be most telling.

Along with the FOMC 'tapering' thread, Greece is back on the radar with 'new' funding issues. There is also chatter that China is facing some bank insolvencies after leveraged commodity trading went the wrong way.

Will be interesting to see how markets trade overnight.

Meanwhile, it appears that the next significant level of support for the SPX lies below at 1540.

position in SPX, Treasuries