8 Dec 2014
Specs reduced overall net long USD by USD1.2bn - ANZ
FXStreet (Bali) - ANZ reviews the latest changes in CFTC positioning, for the week ending 2 December 2014, noting that leveraged funds reduced their overall net long USD positioning by USD1.2bn for the first time in six weeks.
Key Quotes
"Leveraged funds reduced their overall net long USD positioning by USD1.2bn for the first time in six weeks. This is the first reduction in USD positioning in six weeks, and was mainly driven by buying of the EUR even as net selling of the AUD and GBP was registered."
"Net shorts in the EUR continued to be pared down for the second consecutive week. Net short positions in EUR fell to USD17.1bn from USD18.9bn previously. However, given the fall in EUR/USD following the CFTC cut-off date, reflecting a dovish ECB at their December meeting and stronger-than-expected US non-farm payrolls, short EUR positions are likely to show an increase this week."
"JPY net short positions continued to rise, though in USD terms positioning was flat for the week. Since the surprise easing by the BOJ on 31 October, the changes in positioning have paled in comparison to the move in USD/JPY. This suggests that leveraged funds have been hesitant to chase the USD/JPY move thus far."
"AUD saw the largest net selling for the week on the back of lower commodity prices and market pricing in rate cuts by the RBA next year. Net short positions in AUD rose by USD0.6bn to USD1.8bn. We suspect net short positions increased further following the disappointing Q3 GDP print."
"GBP registered modest net selling as its overall net positions stayed short for the second consecutive week. Net short positions in GBP declined by USD0.1bn to USD0.7bn, and continues to track the movements in GBP/USD well."
Key Quotes
"Leveraged funds reduced their overall net long USD positioning by USD1.2bn for the first time in six weeks. This is the first reduction in USD positioning in six weeks, and was mainly driven by buying of the EUR even as net selling of the AUD and GBP was registered."
"Net shorts in the EUR continued to be pared down for the second consecutive week. Net short positions in EUR fell to USD17.1bn from USD18.9bn previously. However, given the fall in EUR/USD following the CFTC cut-off date, reflecting a dovish ECB at their December meeting and stronger-than-expected US non-farm payrolls, short EUR positions are likely to show an increase this week."
"JPY net short positions continued to rise, though in USD terms positioning was flat for the week. Since the surprise easing by the BOJ on 31 October, the changes in positioning have paled in comparison to the move in USD/JPY. This suggests that leveraged funds have been hesitant to chase the USD/JPY move thus far."
"AUD saw the largest net selling for the week on the back of lower commodity prices and market pricing in rate cuts by the RBA next year. Net short positions in AUD rose by USD0.6bn to USD1.8bn. We suspect net short positions increased further following the disappointing Q3 GDP print."
"GBP registered modest net selling as its overall net positions stayed short for the second consecutive week. Net short positions in GBP declined by USD0.1bn to USD0.7bn, and continues to track the movements in GBP/USD well."