CFTC Positioning Report: GBP net shorts kept gathering traction

These are the main highlights of the latest CFTC Positioning report for the week ended on August 6:

• Speculators kept adding to their GBP shorts positions during last week, taking net shorts to the highest level since early April 2017, always on the back of rising odds for a ‘no deal’ outcome on October 31 and deteriorating UK fundamentals.
• The speculative community is now net long in JPY for the first time since November 2016 in response to heightened concerns over the prospects of global growth in light of the protracted US-China trade conflict.
• EUR net shorts receded to two-week lows, supported by ‘repatriation’ inflows and speculations of further rate cuts by the Federal Reserve. It seems investors have not yet started to price in the likeliness of extra easing by the ECB.