CFTC Positioning Report: EUR net longs in 2-month lows

These are the main highlights of the CFTC Positioning Report for the week ended on June 29^th:

• Speculators trimmed their net longs in the euro for the second session in a row reflecting the lasting effects of the hawkish message from the Federal Reserve at its meeting in mid-June. In addition, the rising cautiousness ahead of the Payrolls figures motivated spot move into a consolidative phase following the post-FOMC selloff.
• Net shorts in the dollar dropped to YTD lows as the speculative community kept assessing the Fed’s unexpected shift to a more hawkish stance at its event on June 16. Price action in DXY broke above a brief consolidation well above the 92.00 mark.
• The safe haven universe saw net shorts in the JPY climbing to YTD highs following the Fed gathering, which also bodes well for the carry trade. Net longs in CHF dropped to 2-week lows, as the vaccine catch-up trade in Europe keeps its firm pace.
• Net longs in the British pound remained roughly unchanged following the FOMC meeting and the extra-cautious message from the Bank of England. Cable sparked a sharp leg lower from the 1.40 area to the 1.3730 region just after the cut-off date.