Chinese equity markets were mixed overnight, with Hong Kong shares higher and mainland Chinese shares weaker. In general Asian equity markets were mixed with some ongoing anticipation of another Reserve Rate Requirement reduction from China providing some markets with a lift. However, late breaking news that China cut deposit rates only seemed to add marginal gains. European shares were generally higher overnight (with the exception of the IBEX) and that was probably the result of declining Spanish yields and hopes for an ECB rate reduction. At least in the early action today, the focus of the trade is likely to center on the ECB meeting and results, but that focus will be at least partially divided by the impending US data flows. The US scheduled report slate today will officially kick off the monthly payroll report watch, as an ADP job report will be seen along with weekly initial and ongoing claims figures. Estimates for the early private jobs report today call for a gain of 100,000 to 110,000 jobs and the markets will probably extrapolate that data for a fresh round of estimates on the official Friday US payroll report. Also out from the US today is an ISM Non Manufacturing report and a private layoff report.

Like the rest of the precious metals complex, platinum has seen a fairly impressive run up in prices off the June lows. In fact, October platinum has seen a low to high rally of roughly $106 an ounce and a large portion of that recovery has seemingly been off the expectation of coordinated central bank easing. With the PBOC reducing its RRR earlier this week and the market expecting some fresh easing from both the ECB and BOE today it is possible that platinum prices will continue to claw out minor gains on the charts. However, other traders are concerned about a buy the rumor; sell the fact reaction later today, as the euphoria from the central bank actions ebbs. While the platinum market saw a somewhat favorable news story on platinum supply and demand overnight most of that news (idled production and weaker auto demand) was already known and tossed around by the market over the last two months. However, one might suggest that the expectation of weak Auto sector demand was effectively countervailed by a recent noted improvement in US auto sales data.