The markets remain rather subdued after Fridays sell off

The markets remain rather subdued after Fridays sell off, with silver being the only real mover this morning.  Chinese PMI rose marginally from 50.2 to 50.6, missing Bloomberg’s projection 50.8 by a hair. The major countries in the Euro zone also released their PMI #’s today, with most coming in on par with or slightly below the projections.  This had a positive effect on the equities and commodity markets in the early morning which was curbed rather quickly when the US ISM # was released.  Coming in at 49.5, it was 1.9 points lower than expectations which makes it the lowest since July 2009.  This is important # because it is the first read of the month on the strength of the US economy.  As expected this has had a negative effect on global equities markets and has also begun to put pressure on some of the commodities.  Looking further out, the real mover this week should be ADP report on Wednesday and the unemployment #’s on Friday.  As this will be the first read since the election, we will likely see quite a bit of trading ahead of the number.  Technically gold and silver look rather bearish in the near term, while the long term view remain bullish due to the supporting fundamental case.  It seems selloffs are to be bought as a rally above 1726 and 34.50 may trigger a break out to test 1750 and 35.  Platinum and palladium remain relatively strong with palladium fairing out the best.  In the near term the technicals for palladium look slightly bullish, while platinum looks to be well supported around the $1580 level.  Good luck this week.