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CFTC Commitments of Traders – Risk Currencies Got Dumped. Reversal Likely in Coming Week

As suggested in the CFTC Commitments of Traders report in the week ended August 24, NET SHORT of USD index futures gained +1 151 contracts to 20 362. Speculative long positions added +1 151 with no change in shorts. European currencies got dumped in the reporting weeks on resurgence of new coronavirus cases and hopes of early Fed tapering. NET LENGTH in EUR futures sank -33 010 contracts to 24 630. GBP futures’ drifted to NET SHORT of -16 745 contracts.

On safe-haven currencies, NET LENGTH of CHF future fell -1 453 contracts to 4 094 while while NET SHORT of JPY futures gained +3 463 contracts to 66 671. Concerning commodity currencies, NET SHORT of AUD futures jumped +6 233 contracts to 56 600 while that of NZD futures added +127 contracts to 362 during the week. NET LENGTH of CAD futures rose +3 217 contracts to 5 877 during the week.

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