CFTC Speculators FX Positioning as 11 August 2015

USD longs climbed a little higher prompted by the as expected but solid US July labor report.  However, as the value of the CNY fell further during the middle of last week, speculation of a September Fed policy move was pared back and this impacted the value of the USD on the spot market, says Rabobank.

Net EUR shorts extended in the wake of the Chinese devaluation last Tuesday.  Spot activity later in the week, however, suggests that the EUR subsequently found greater support. Whereas, net sterling shorts increased last week on the back of the far less than expected hawkish tone from the Bank of England on Super Thursday

The level of JPY shorts jumped last week on the back of a drop in the value of the CNY.  Speculation that the BoJ may step up the tempo of a currency war by easing again in October gathered pace, adds Rabobank. 

CHF net positions dropped further back into negative territory suggesting that negative interest rates and the threat of further SNB FX intervention have had some impact in undermining the attraction of the Swissie, notes Rabobank. 

Bearish pressure on the AUD stepped up again last week after the CNY devaluation.  The previous week following net shorts had decreased following the change in the RBA's policy statement.  Negative pressure on CAD positions intensified once again as oil prices dropped.