On Tuesday investors were closely watching the action in the S&P, which jumped at the open but then pared gains, adding to the growing chatter that a correction is coming.

Skeptics called the early advance nothing more than month end window dressing, a practice in which money mangers buy additional shares of their winning positions to present their portfolios in a better light.

Bears point to weak fundamentals and argue the latest economic data shows that the recovery is stalling out.

For example, in May consumer confidence fell, single-family home prices dropped, and the ISM-Chicago data showed business activity in the Midwest grew much less than expected.