Stocks closed in the red with the S&P stock index down -0.8%.

Volumes were light in corporate credit, however, with much of the action taking place in treasury bonds.

Treasury bonds opened lower in the morning only to rally into the close and then sell off again off the highs.

Oil closed below $105 a barrel as interesting happenings took place in Libya.

Over the weekend, eight British SAS special-forces operators were detained and then deported by Libyan rebels deep in Eastern Libya.

The British are keen to preserve their petroleum interests; BP cut a big oil deal with Libya following the release of the Lockerbie suspect.

Egyptian special-forces soldiers, in civilian clothes, are also reported to be operating in Eastern Libya, organizing and training Libyan rebels.

The Colonel continues to hang on.

New issues were light today; if volatility remains subdued, there could be issuance North of $15 billion this week.

NFIB small business optimism index is out tomorrow.